ENERGY: Greece’s Energean reports successful Karish North Appraisal

Greece’s Energean announced the successful appraisal of Israel’s Karish North Discovery, confirming best estimate recoverable gas resources of 0.9 Tcf (25 BCM) plus 34 mln barrels of light oil.

The oil and gas producer focused on the Mediterranean, said the appraisal significantly enhances Energean’s discovered resource volumes across its Karish and Tanin leases.

Volumes are incremental to the 2.4 Tcf (68 BCM) and 33 million barrels of light oil / condensate discovered resources that Energean already has in its Karish and Tanin leases.

The Karish North Discovery will be developed via a tie-back to the Energean Power FPSO, which is located 5.4km away and is being built with 8 BCMA of capacity.

Mathios Rigas, Chief Executive of Energean said: This is an excellent result from the Karish North appraisal sidetrack, confirming in place volumes in the top half of pre-drill estimates and increasing our recoverable volumes in Israel by 0.9 Tcf (25 BCM) of gas plus 34 million barrels of light oil or condensate.

Today’s successful results allow us to continue our gas marketing efforts in the region with a goal to fully utilise the capacity of our 8 BCMA FPSO. Our focus now remains on closing the Edison E and P acquisition, in parallel with progressing Karish development.

Energean is a London Premium Listed FTSE 250 and Tel Aviv Secondary Listed E and P company with operations offshore Israel, Greece and the Adriatic.

In March 2018 Energean took Final Investment Decision on its Karish-Tanin gas development project, where it will use an FPSO and produce first gas in 2021.

It has already signed contracts for 4.7bcma of gas sales into the Israeli domestic market. Future gas sales agreements will focus on both the growing Israeli domestic market and key export markets in the region such as Cyprus.

In July, Energean announced the conditional acquisition of Edison E and P for $750 million plus $100 million of contingent consideration.

Energean has five exploration licences offshore Israel, and a 25-year exploitation licence for the Katakolo offshore block in Western Greece and additional exploration potential in its other licences in Western Greece and Montenegro.

Source: The Financial Mirror