Israel Attempting to Attract Global Investors to Find Oil and Natural Gas to Exceed the Previous Finds
Israel started its second round of offshore licensing in late 2018 hoping to attract global investors able to discover oil and natural gas reserves to compete or exceed the earlier discoveries.
New terms were offered by the second round, including larger acreage units than the first offshore bid round of Israel in 2016. Operators of the first-round licenses will begin drilling this year. This first round of offshore bid involved 24 blocks each of up to 400 sq. km.
The second round was built on the increasing zonal importance of the East Mediterranean as a hydrocarbon province, including Karish, Tanin, Leviathan, and Tamar fields.
Zones and not individual blocks will be submitted bids. These bigger areas will enable more increased resource potential and subsurface analysis. The second round provides both discovered leads and prospects to be still drilled. Advancements in seismic processing, interpretation, and analysis are expected to help operators to find resources.
Identifying the regional competition for discovering oil & gas in Israel, the country offers promising geologic conditions, proven success, large prospective resources and stable financial growth of investors.
Israel is importing oil and gas since 1948 and several small onshore fields discovered so far didn’t change the requirement for imports. Exploration process shifted offshore in 1999, obtaining 10 gas discoveries beginning with Noa and Mari B fields.
Found in 2010, recoverable resources of leviathan total an estimated 17.6 Tcf. Operation Leviathan and gas sales from the field are expected to start late this year. The Leviathan field has a designed capacity of producing up to 1.2 bcfd.
Gas from Mari B started arriving onshore in 2004. Tamar field, which offers adequate gas for all the domestic usage at present of Israel, was included in the Israeli grid in 2013 in a fast-track development that finished in less than 3 years.
Karish field in the northern exclusive economic zone (EEZ) is scheduled to begin production in 2021 with the help of a floating production, storage and offloading vessel (FPSO) 90 km offshore, the first FPSO of the Eastern Mediterranean.
Already two production leases, as well as five exploration licenses, have been awarded by the Israeli Petroleum Commissioner in the East Mediterranean.
A study has demonstrated the widespread possibility for wet and dry gas, oil and condensate. It highlighted the presence of two remarkable petroleum systems in the offshore Levant Basin.