Israeli Electric Corporation (IEC) has exercised its option to buy more natural gas from the Tamar gas field, located in the Mediterranean Sea, offshore Israel.
The original deal for delivery of 76 billion cubic meters over a 15-year period was signed in 2012.
According to Reuters, which cited a Tel Aviv filing by the Tamar partners, IEC will now buy 87 billion cubic meters of gas from the field by 2028 in total.
The state-run utility has exercised its option to extend Tamar gas deliveries only partially. According to a statement by Delek Group, a partner in the Tamar field, had the option been exercised fully, Tamar field would deliver 99 billion cubic meters of natural gas.
Natural gas production started flowing from the Tamar field in late March 2013. Partners had invested $3 billion in developing the field.
Noble Energy operates Tamar with a 36 percent working interest. Other owners are Isramco Negev 2 with 28.75 percent, Delek Drilling with 15.625 percent, Avner Oil Exploration with 15.625 percent, and Dor Gas Exploration with the remaining four percent.
Offshore Energy Today Staff