Delek Drilling, Avner Oil Raise $2 Bln For Leviathan Field

Posted by Joseph R. Fonseca
Sunday, May 11, 2014
Logo

 

Israel's Delek Drilling and Avner Oil have raised $2 billion in an international bond offering to help fund the development of the huge Leviathan natural gas field off the coast of Israel.

An announcement by the firms said demand of $13.5 billion was the largest ever for an Israeli enterprise and it was over-subscribed by 650 percent.

"This shows unprecedented confidence by European, U.S. and Israeli financial markets in the vision of Delek Drilling, Avner and Delek Group," Avner Chairman Gideon Tadmor said.

"The development of the Leviathan reserve will allow the continuation of the Israeli natural gas revolution and regional and international export that will significantly strengthen Israel's geo-political standing," he added.

Avner and Delek Drilling are major shareholders in the group developing Leviathan, which holds an estimated 19 trillion cubic feet of gas and is expected to go online around 2017. Much of the reserves are earmarked for export.

Company executives held a road show to attract investors in the United States, Europe and Israel. Five series of bonds were issued, each with its own fixed interest rate, and with the longest maturing in 2025, the companies' statement said.

Texas-based Noble Energy is the field's operator with a 39.66 percent stake. Avnerand Delek Drilling, subsidiaries of Delek Group, hold a combined 45.34 percent, and Ratio Oil has the remaining 15 percent.

The partners are due to receive another large sum from the sale of a 30 percent stake in the field to Australia's Woodside Petroleum. However the deal, worth up to $2.7 billion deal, has been held up over a tax disagreement between Woodside and Israel. [IDn:nL4N0MO52B]

The partners have signed a 20-year deal with a Palestinian power company to sell $1.2 billion worth of gas, and earlier this month put in a bid to sell gas through a pipeline to Cyprus.

(Writing by Ori Lewis and Ari Rabinovitch)

Maritime Reporter July 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

DryShips Reaches Agreement with Ocean Rig

DryShips Inc. (NASDAQ: DRYS), a global provider of marine transportation services for drybulk and petroleum cargoes, and through its subsidiary, Ocean Rig UDW Inc.

Cruise Industry Wins Key Norovirus Judgment

In what is being seen as a landmark decision, Hill Dickinson is the first law firm to have successfully defended a UK class action case involving a Norovirus outbreak onboard a cruise liner.

South China Sea Hotline in the Works

China and Southeast Asian nations have agreed to set up a foreign ministers' hotline to tackle emergencies in the disputed South China Sea, a senior official of

Finance

U.S. Drillers Add Rigs Despite Crude Collapse

U.S. energy firms added 5 oil rigs this week after putting 21 rigs into service last week, the most in over a year, despite a collapse in U.S. crude prices from recent highs in June,

DryShips Reaches Agreement with Ocean Rig

DryShips Inc. (NASDAQ: DRYS), a global provider of marine transportation services for drybulk and petroleum cargoes, and through its subsidiary, Ocean Rig UDW Inc.

South China Sea Hotline in the Works

China and Southeast Asian nations have agreed to set up a foreign ministers' hotline to tackle emergencies in the disputed South China Sea, a senior official of

Energy

U.S. Drillers Add Rigs Despite Crude Collapse

U.S. energy firms added 5 oil rigs this week after putting 21 rigs into service last week, the most in over a year, despite a collapse in U.S. crude prices from recent highs in June,

West Africa's August Crude Exports to Asia to Slip

West African crude oil exports to Asia were expected to fall to 1.84 million barrels per day (bpd) in August, Reuters data and a survey of traders showed.     Slower

South China Sea Hotline in the Works

China and Southeast Asian nations have agreed to set up a foreign ministers' hotline to tackle emergencies in the disputed South China Sea, a senior official of

News

U.S. Drillers Add Rigs Despite Crude Collapse

U.S. energy firms added 5 oil rigs this week after putting 21 rigs into service last week, the most in over a year, despite a collapse in U.S. crude prices from recent highs in June,

West Africa's August Crude Exports to Asia to Slip

West African crude oil exports to Asia were expected to fall to 1.84 million barrels per day (bpd) in August, Reuters data and a survey of traders showed.     Slower

DHS, Postal Service to Dedicate USCG Forever Stamp

U.S. Department of Homeland Security (DHS) and Postal Service leaders are scheduled to dedicate the United States Coast Guard Forever stamp during a ceremony Tuesday at Coast Guard Headquarters.

Offshore Energy

U.S. Drillers Add Rigs Despite Crude Collapse

U.S. energy firms added 5 oil rigs this week after putting 21 rigs into service last week, the most in over a year, despite a collapse in U.S. crude prices from recent highs in June,

NOIA Applauds Senate Passage of OPENS Act

NOIA President Randall Luthi issued the following statement on the Senate Energy and Natural Resources Committee’s passage of the OPENS Act, which will open new

Shell Moves Ahead in Arctic with Exploratory Well

Shell Oil's icebreaker MSV Fennica weaved through nine remaining protesters hanging from the St. Johns Bridge and made its way toward the Pacific Ocean.   Authorities

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Naval Architecture Navigation Pod Propulsion Ship Electronics Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2649 sec (4 req/sec)