Tamar-1 gas field seen commercial in 5 years

Infrastructures Ministry chief: There is a strong certainty about the natural gas discovery at the Tamar-1 well.

"There is a strong certainty about the natural gas discovery at the Tamar-1 well offshore from Haifa, and the natural gas at the prospect could become commercial within five years," Ministry of National Infrastructures director general Hezi Kugler today told the Knesset Internal Affairs and Environment Committee, which discussed the ramifications of the discovery.

Kugler noted that the natural gas field could more than triple the amount of natural gas used by Israel's energy market, from four billion cubic meters a year to 12-15 billion cubic meters a year, within a decade. He said that the Ministry of National Infrastructures' goal was to increase the proportion of natural gas from the current 30% to 40% within a decade.

Avner Oil and Gas LP (TASE: AVNR.L) CEO David Cohen said, "This discovery is just the beginning." He added that the company would drill new wells in neighboring sites.

The Tamar prospect in the Matan license is owned by Delek Group Ltd. (TASE: DLEKG) units Delek Drilling LP (TASE: DEDR.L) and Avner Oil and Gas with a 15.625% stake each, along with Isramco Ltd. (Nasdaq: ISRL; TASE: ISRA.L) (28.85%), and Noble Energy Inc. (NYSE: NBL) (36%), and Alon Israel Oil Company Ltd. subsidiary Dor Gas Exploration Ltd. (4%).

Published by Globes [online], Israel business news - www.globes-online.com - on February 4, 2009

© Copyright of Globes Publisher Itonut (1983) Ltd. 2009

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