Chevron and the other holders of the rights in the Tamar natural gas reservoir announced a final investment decision today for the second stage of the two-stage project to expand production capacity from the reservoir. The announcement comes six months after the then minister of energy and infrastructure, Israel Katz, approved the expansion of the supply of gas from the Tamar reservoir by 6 BCM a year, of which 3.5 BCM will be for Egypt, from 2026. This represents a 60% uplift in comparison with the current production capacity.
The holders in the rights in Tamar, besides Chevron (25%), are Isramco (28.75%), Tamar Petroleum (16.75%), Mubadala Investment (11%), Tamar Investment 2 (11%), Dor Gas Exploration (4%), and Everest (3.5%). "The decision to invest in the second stage of expansion of Tamar reflects Chevron’s continuing commitment to cooperation with the State of Israel and to further development of its energy sources for the benefit of local and regional gas markets," said Chevron Eastern Mediterranean managing director Jeff Ewing.
In response to the announcement, the Tel Aviv Oil and Gas Index is up nearly 4%. The rises are led by Tamar Petroleum, which is currently up 11.36%, and Isramco, which is up 10.40%.
Execution of both stages in the expansion of production capacity from Tamar is planned for 2025, so that all will be ready for expanded supply in 2026.
Published by Globes, Israel business news - en.globes.co.il - on February 18, 2024.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2024.