Energean Oil & Gas SA, Athens, has followed its August 2016 commitment to develop deepwater Karish and Tanin natural gas and condensate fields offshore Israel (OGJ Online, Aug. 19, 2016). It announced a development plan using a floating production, storage, and offloading vessel.
Energean will submit a formal field development plan at midyear, which involves the drilling of 3-4 wells to develop Karish field and 2-3 development wells in Tanin field after Karish field production has come off plateau, the company said.
This follows the closing of the acquisition of the assets after Israel’s Petroleum Commissioner granted approval (OGJ Online, Dec. 7, 2016). The $148-million deal, plus royalties, is implemented as part of the Israeli government’s gas framework. Karish and Tanin fields—discovered in 2013 and 2011, respectively—have 2C gas resources of 2.4 tcf (OGJ Online May 23, 2013; Feb. 7, 2012).
The fields, about 40 km apart in Israel’s exclusive economic zone, will supply the Israeli market. Energean intends to start gas production in 2020. Karish and Tanin development is estimated to cost $1.3-1.5 billion over the next few years, the company said.
Energean acquired 47.059% from Noble Energy Mediterranean Ltd. and 26.4705% each from Avner Oil Exploration LP and Delek Drilling LP in August 2016, bringing its interest to 100% for both fields.