Energean Oil and Gas plc, a Greek gas producer focused on the Mediterranean, said Monday that its appraisal of the Karish North discovery offshore Israel has revealed 0.9 trillion cubic feet (tcf) of recoverable natural gas resources plus 34 million barrels of light oil or condensate.
The appraisal “significantly” increases the resource volumes discovered by Energean at the Karish and Tanin leases off Israel’s shore, the statement said.
The firm had already discovered 2.4 tcf of natural gas at the Karish and Tanin fields, along with 33 million barrels of light oil. Energean has already signed accords to sell 4.7 billion cubic meters a year of the fuel to Israeli customers.
Light crude oil is a liquid petroleum that has a low density and low viscosity than heavy crude oil. Natural gas condensate is a mixture of hydrocarbon liquids that are present in the raw natural gas produced at gas fields.
Israel, a nation traditionally starved of natural resources, believes the discovery of natural gas reserved off its shores in the Mediterranean will lead it to energy independence and make it an exporter of gas. The Karish and Tanin natural gas fields sit alongside the larger Tamar and Leviathan deposits in Israel’s economic waters in the Mediterranean.
In December 2016, Israel gave the go-ahead for the sale of the Karish and Tanin fields to Energean in an effort to increase competition in the domestic market. The output from the Karish and Tanin fields is earmarked for the domestic market.
“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,” said Mathios Rigas, chief executive of Energean in the filing.
Energean shares were up almost 2% on Monday at 2:44 p.m. in Tel Aviv.