Energean Oil and Israel Natural Gas Lines sign agreement

Energean Oil on Monday announced that it has signed an agreement with Israel Natural Gas Lines to supply natural gas from Energean’s FPSO (floating production storage and offloading) to the Israeli national gas transmission grid.

The agreement covers the onshore section of the Karish and Tanin infrastructure and the near shore section of pipeline extending to approximately 10km offshore. Under the Agreement, INGL will pay Energean approximately 100 million euros. The delivery of these parts of the pipeline to INGL will take place immediately after the start of natural gas delivery from the Karsis deposit in the first quarter of 2021.

Yuval Steinitz, Minister of National Infrastructure, Energy and Water of Israel, said: “This is an important step in the development of medium and smaller gas fields, which is also based on infrastructure created by INGL. The signing of the agreement will encourage exploration for gas fields and their development and will contribute to Israel’s energy security in the future.”