Greece's Energean Signs First Deal to Supply Gas to Israel
- Company will supply up to 23 bcm of gas at competitive price
- Energean entered field fter Noble was forced to sell stake
Gas storage tanks sit on-board the Gallina liquefied natural gas (LNG) tanker after docking at the National Grid Plc's Grain LNG plant on the Isle of Grain in Rochester, U.K., on Saturday, March 4, 2017. The shipment to England on the Gallina was priced using the U.K.'s National Balancing Point, where front-month gas cost about $7 a million British thermal units on Feb. 7.
Photographer: Jason Alden/BloombergEnergean Oil & Gas Group signed contracts to supply private Israeli power plants with natural gas, the first deals to compete with the partners who dominate the country’s energy industry.
Greece’s Energean will supply as much as 23 billion cubic meters of natural gas from the Karish and Tanin fields offshore Israel to Dalia Power Energies Ltd. and Or Power Energies Ltd., according to an emailed statement Sunday. The cost will be linked to the Israeli electricity market and underpinned by a floor price.