Page 9 - MEOG Week 11 2021

MEOG PERFORMANCE MEOG

Leviathan partners

increase sales estimate

ISRAEL ISRAEL’S Delek Drilling said that it and its part- to Egypt, alongside the rise in demand on the
ners in the Leviathan gas field expect 2021 gas domestic market, have led to a revision upwards
sales from the asset to amount to 10bn cubic in the forecast for sales and production from the
metres. Leviathan reservoir, which has already become a
This provides a 1.1 bcm increase on the 8.9 major energy anchor in the sector.”
bcm estimate provided in July 2020 when the He added: “The continued development
partners factored the impact of the coronavirus of the reservoir, expansion of the pipeline and
(COVID-19) pandemic into their forecast; how- increasing export capabilities will allow us to
ever, it still falls below the previously anticipated promote more export contracts.”
level of 10.8 bcm. Production began at Leviathan in late 2019
The shareholders in the Leviathan project are; and has been ramping up to its predicted plateau
Delek (45.34%), Chevron (39.66%) and Ratio level of 1.2bn cubic feet per day (34mn cubic
Oil Exploration (15%). metres), and further increases above the name-
The increased sales are expected to see total plate hinge on the installation of two expanders.
revenue from the field reach $1.7bn in 2021, with Total production in 2020 is estimated at around
Delek taking an equity share of $760mn. These 7 bcm.
figures are based on a conservative Brent crude The field’s combined proven plus probable
price of around $52 in 2021. (2P) reserves and 2C resources are estimated at
The company added that the partners had just under 23 trillion cubic feet (651 bcm) of gas
made 4.2 bcm of gas sales during the second half and 41mn barrels of condensate.
of 2020, 5% higher than forecast. A late 2020 reserves report by Netherland,
In a comment to press, Delek’s CEO Yossi Sewell & Associates Inc. (NSAI) said that it
Abu said: “The continuing increase and sta- had raised the valuation of the field by 2.3% to
bilisation in the actual amount of gas exports $10.8bn.™

FINANCE & INVESTMENT

Turkey launching natural

gas futures market

TURKEY TURKEY’S energy market watchdog on March ($13.9bn).
12 released a set of regulations for the operation In 2019, EPIAS was ranked second on For-
of an upcoming Natural Gas Futures Market tune magazine’s top 500 Turkish companies list
(VGP) at the Energy Exchange Istanbul (EPIAS). with TRY87.9bn ($11.7bn) in net sales.™
The exchange plans to launch the market on
October 31.
EPIAS, initially launched in 2015 for the
electricity market, has boasted a Spot Wholesale
Natural Gas Market (OTSP) since 2018.
The OTSP has 48 registered participants. Its
transaction volume in 2020 rose by 64% y/y to
2.09bn cubic metres, suggesting a monetary vol-
ume of Turkish lira (TRY) 3bn ($386mn).
EPIAS’ electricity markets, namely the Intr-
aday Market, Day Ahead Market and Balancing
Market, are more active.
In the Day Ahead Market, the transaction
volume rose 19% y/y to 181 TWh in 2020,
suggesting a monetary volume of TRY104bn

Week 11 17•March•2021 www. NEWSBASE .com P9