Energy and water resources minister reminds companies that their gas field must supply needs of Israeli market

Amir Ben-David
Published: 03.14.13

Energy and Water Resources Minister Uzi Landau has sent a “letter of reprimand” to the Tamar partners, demanding that they avoid signing agreements to sell gas from the Tamar field.

“According to the report submitted by the Zemach Committee, which looked into the government’s policy in terms of the natural gas market, the Tamar gas reservoir must supply the Israeli market’s needs. In addition, exporting gas requires a pre-approval,” the minister wrote.

Recently, reports surfaced that the Tamar partners have signed contracts to export gas to other countries through a liquefied natural gas facility.

According to the reports, the partners – Noble Energy, Delek Group, Isramco and Alon Natural Gas Exploration – plan to sell the gas to the company which is building the facility converting natural gas to liquid and is interested in selling it to Russia’s Gazprom.

The Delek Group has an option to acquire part of the company building the liquefied natural gas facility.

The Zemach Committee report, expected to be submitted to the next government for approval, defines a minimal amount of gas each reservoir must supply to the Israeli market.

The Delek Group said in response that all its activities had been reported to the Ministry, and that in any event there was no intention to export more gas than the Zemach report allowed.

http://www.ynetnews.com/articles/0,7340,L-4356313,00.html