Page 10 - MEOG Week 39 2022

MEOG NEWS IN BRIEF MEOG

COMPANIES developing Leviathan. million USD, the statement mentioned.
One option is to build a floating liquefied The statement also elaborated that the
Capricorn to merge with national gas (FLNG) terminal, which has seen total quantities of crude oil exported during
support from the Israeli government, he said.
August from oil fields in central and southern
NewMed, ditching Tullow The other is to connect via pipeline to LNG Iraq were 100.75 million barrels, while the
quantities exported from oil fields in Kirkuk
terminals in north Egypt.
Capricorn Energy (CNE.L) plans to merge The deal would value Capricorn shares through the port of Ceyhan were more than
with Israel’s NewMed in an all-share deal after at 271 pence, a 13% premium to their last 1.1 million barrels.
paying a $620 million special dividend to its closing price. The deal with West Africa- The statement also indicated that the
shareholders, ditching a previous scheme to focused Tullow had valued Capricorn at average price per barrel was 95.12 USD.
merge with Tullow Oil. around 210 pence per share. The statement added that the exported
The Capricorn-NewMed deal would Some Capricorn investors had come out quantities were loaded by 32 international
create an Israel-Egypt-focused gas producer against the Tullow merger plan. Tullow said companies from ports on the Arabian Gulf
including NewMed’s stake in Israel’s giant it would not raise its offer, pointing to its and the Turkish port of Ceyhan.
Leviathan offshore field at a time when business plan on a standalone basis. The Iraqi Ministry of Oil started to share
Europe is looking for non-Russian energy The merger would see Capricorn issue information about its oil export operations
supplies. new shares to NewMed investors based on an and revenues out of its awareness and belief
The new group would be listed under exchange ratio of around 2.34 per NewMed to let the information available for the Iraqi
NewMed, formerly known as Delek Drilling, share, resulting in Capricorn shareholders people, according to the statement.
in London and led by Yossi Abu, the CEO of holding just over 10% of the new company. IRAQI NEWS
NewMed whose shareholders will own 89.7% The deal is due to close in the first quarter of
of the merged entity. next year. Oman crude oil,
Capricorn’s shares were trading up more Capricorn Chief Financial Officer James
than 10% after the announcement, hitting Smith will stay on with NewMed Energy, condensates output up 10%
their highest level since 2018. Tullow’s shares which is set to pay out at least 30% of its cash
were down about 3.6% while NewMed’s were flow, expected to reach around $450 million a by August
down just under 1%. year after financing over the next five years, in
Abu said the new group would aim to dividends. Oman’s production of crude oil and
raise its production to over 200,000 barrels oil REUTERS condensates recorded an increase by 10.3%
equivalent per day (boed) by the end of the till the end of August 2022 to reach over 257
decade from its current 115,000 boed. million barrels, according to data issued by the
“We are creating a company that for the OIL National Centre for Statistics and Information
first time allows international investors to get (NCSI).
direct exposure to the East Med gas play and Iraqi oil revenues exceed 9 Separately, Crude oil production saw a rise
Leviathan in particular,” Abu said. by 13.9% till the end of August 2022, while
It will be the first Israeli company to own billion USD in August condensates production declined by 1.7%,
oil and gas assets in Egypt, a neighbouring reported Oman News Agency (ONA), citing
Arab state with a peace treaty with Israel and The Iraqi Ministry of Oil announced on NCSI data.
an energy-hungry population of around 100 Thursday that oil export revenues for August The total average price for crude Oman
million. Israel already supplies gas to Egypt exceeded nine billion USD, according to the oil recorded a surge by 40.4% till the end
after discovering large resources off its coast in Oil Ministry statement cited by the Iraqi news of August 2022 to reach $95.3 per barrel
the 2000s. Agency (INA). compared to $67.9 per barrel till the end of
On a conference call, Abu said the merger According to the final statistics issued by August 2021.
better positions NewMed as a potential gas the State Organization for Marketing of Oil The monthly average of oil price increased
supplier for Europe, adding that the company (SOMO), crude oil exports reached nearly 102 in August 2022 by 5.3% compared to the
was still weighing its options for further million barrels with revenues exceeding 9.68 corresponding period in 2021.

P10 www. NEWSBASE .com Week 39 28•September•2022