Delek applies for Cypriot licenses with oil majors

Delek units Avner and Delek Drilling have teamed with Italy's Enel Trade, France's Edison International, and Australia's Woodside Energy.

Delek Group Ltd. (TASE: DLEKG) applied for Cypriot offshore oil and gas exploration licenses on Friday through its gas exploration units Avner Oil and Gas LP (TASE: AVNR.L) and Delek Drilling LP (TASE: DEDR.L). The companies are part of a consortium with Italy's Enel Trade SpA, France's Edison International SpA, and Australia's Woodside Energy Holdings Pty Ltd.

Noble Energy Inc. (NYSE: NBL) did not file any bids for the Cypriot licenses, according to the Cypriot media.

Woodside and Edison International each own 30% of the consortium, Enel owns 15%, and Avner and Delek Drilling each own 12.5%. This arrangement may lead to foreign participation in Leviathan, which Delek owns with Noble Energy and Ratio Oil Exploration (1992) LP (TASE:RATI.L), as some the companies have assets that Delek lacks. Edison International owns a gas pipeline in Europe, and Woodside specializes in liquefied natural gas (LNG infrastructures development.

Enel SpA (BIT: ENEL) and Edison International (a subsidiary of EDF SA (Euronext: EDF)) are two of Europe's largest energy companies.

Cyprus Opportunity, owned by Rony Halman and Uri Aldubi, a sister company of Israel Opportunity Energy Resources LP (TASE: ISOP.L), has bid for two of the Cypriot licenses, together with Norway's AGR Group Inc.

Modiin Energy LP (TASE:MDIN.L), Isramco Ltd. (Nasdaq: ISRL; TASE: ISRA.L) affiliate Naphtha Israel Petroleum Corp. (TASE: NFTA), ATP Oil & Gas Corporation (Nasdaq: ATPG), and Dor Chemicals Ltd. also filed a joint bid in the tender.

A consortium of Alon Natural Gas Exploration Ltd. (TASE: ALGS), Sigma Exploration Ltd., and Cyprus's Petrolina (Holdings) Public Ltd. (CSE: PHL) filed bids for Blocks 2 and 9.

Published by Globes [online], Israel business news - www.globes-online.com - on May 13, 2012

© Copyright of Globes Publisher Itonut (1983) Ltd. 2012

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