Decision Looming To Revive Israeli Upstream

On 16 August Israel will call an extraordinary parliamentary session to vote on the framework of a compromise deal reached with Noble Energy, hoping to pave the way for the development of the giant 22 tcf Leviathan field.

Confident that the new framework proposal will be passed by members of Israel’s Knesset, Prime Minister Benyamin Netanyahu will call an extraordinary plenum session on 16 August, expecting to breathe new life into the country’s dormant upstream.

Talks with US firm Noble Energy and its partner offshore Israel, the Tel-Aviv based Delek Group, have been ongoing since earlier this year but have intensified, following the appointment of Yuval Steinitz as Energy Minister on 21 May. Noble had halted operations in Israel and laid off staff in the first quarter of 2015 in protest, after Antitrust Authority Commissioner David Gilo ruled in December 2014 that the US firm and Delek had formed a monopoly offshore Israel. This ruling would have forced Noble and Delek to divest their interests in either Leviathan or the 10 tcf Tamar field. (CONTINUED - 934 WORDS)