Energean Oil and Gas plc has declared that it has come into a Detailed Agreement with Israel Natural Gas Lines (INGL) for the shift of title (the hand over) of the nearshore and coastal section of the infrastructure that will ship gas from the Karish and Tanin FPSO into the Israeli national fuel transportation grid. An MOU with INGL was inked in December 2018.
Per an agreement, INGL pays Energean 369 million Israeli New Shekels, roughly US$102 million, which will be paid in accordance with the procedure detailed in the Settlement.
The Settlement covers the coastal part of the Karish and Tanin infrastructure and the nearshore part of pipeline expanding to roughly 10km offshore. It’s intended that the hand over to INGL will become efficient after the supply of first gas from the Karish region in 1Q 2021.
Mathios Rigas, CEO of Energean Oil & Gas mentioned:
“The Settlement inked with INGL is a vital breakthrough for the Karish and Tanin development, which can begin flowing natural gas to the Israeli market in the first quarter of 2021. This outlines the dedication of the Israeli government to the venture and long term growth of gas resources offshore Israel. The infrastructure being constructed by Energean will allow connection of future gas discoveries to the system, additional contributing to Israel’s energy security and diversity of deliveries. We thank INGL administration and professional staff for the collaboration – we stay up for initiating more projects collectively in the future”.