Partners in the Leviathan natural gas project offshore Israel have signed an agreement to supply as much as 45 billion cu m of gas to a Jordanian power company.
The deepwater project recently received development approval of the Petroleum Commissioner of Israel’s Ministry of National Infrastructure, Energy, and Water Resources and awaits permitting and a final investment decision (OGJ Online, June 2, 2016).
NBL Jordan Marketing Ltd., a wholly owned subsidiary of the Leviathan partners, will supply the gas at the Jordan-Israel border to National Electric Power Co. of Jordan.
The agreement is for 15 years unless shipments reach the maximum volume earlier.
Delek Group, whose Delek Drilling LP and Avner Oil Exploration LP subsidiaries hold interests in Leviathan, said total revenues under the agreement are estimated at $10 billion. The agreement includes an annual take-or-pay provision. It’s subject to approvals of Israeli and Jordanian authorities and the signing of transportation agreements.
Two state-owned Jordanian companies, Arab Potash and Jordan Bromine Co., have agreements to buy gas from Tamar field, which came on stream east of Leviathan in 2013 (OGJ Online, Feb. 20, 2014).
Noble Energy Inc., which operates Leviathan field with a 39.66% interest, recently said it has signed contracts with Israeli buyers for 100 MMcfd of Leviathan gas.
Delek Drilling and Avner Oil Exploration hold 22.67% interests each. Ratio Oil Exploration (1992) LP holds 15%.