Delek Drilling LP () is an Israeli energy Oil & Gas
partnership
A partnership is an arrangement where parties, known as business partners, agree to cooperate to advance their mutual interests. The partners in a partnership may be individuals, businesses, interest-based organizations, schools, governments o ...
in the exploration, development, and production of Natural Gas and Oil.
Delek group
Delek Group is an Israeli conglomerate and one of Israel's largest companies, Delek Group is involved in the energy and infrastructure, with investments in upstream and downstream energy, water desalination and power plants. Delek Group' subsid ...
owned by
Yitzhak Tshuva
Yitzhak Tshuva ( he, יצחק תשובה; born July 7, 1948) is an Israeli billionaire businessman. He is the chairman of El-Ad Group, which owned the New York Plaza Hotel. He also owns the Israeli conglomerate Delek Group. In 2014, he was liste ...
, is the controlling
shareholder
A shareholder (in the United States often referred to as stockholder) of a corporation is an individual or legal entity (such as another corporation, a body politic, a trust or partnership) that is registered by the corporation as the legal own ...
of the partnership. The partnership is traded on the
Tel Aviv Stock Exchange
The Tel Aviv Stock Exchange (TASE; ; colloquially known as The Bursa, ) is Israel's only public stock exchange and a public company that has been traded on the Tel-Aviv Stock Exchange since August 1, 2019. Legally, the exchange is regulated by ...
and is part of the
TA 35 Index.
History
Delek Drilling was founded by Avinoam Finkelman and served as the search department of the Delek group, then controlled by the
IDB group. The partnership was founded with an agreement signed on July 1, 1993 between Delek Drilling Management (1993) Ltd as a general partner and Delek Drilling Trusts Ltd as a
limited partner
A limited partnership (LP) is a form of partnership similar to a general partnership except that while a general partnership must have at least two general partners (GPs), a limited partnership must have at least one GP and at least one limited p ...
. The Partnerships holdings include Yam Tethys Ltd, Delek Drilling (Leviathan Finance) Ltd, Delek Drilling (Yam Tethys Finance) Ltd, Delek and Avner Yam Tethys Ltd and Delek Drilling (Tamar Finance) Ltd.
In 1998,
Yitzhak Tshuva
Yitzhak Tshuva ( he, יצחק תשובה; born July 7, 1948) is an Israeli billionaire businessman. He is the chairman of El-Ad Group, which owned the New York Plaza Hotel. He also owns the Israeli conglomerate Delek Group. In 2014, he was liste ...
, a self-made multi-billionaire, purchased control of Delek group, from the Recanati family.
In December 2016 the general meeting of Delek Drilling and Avner gas and oil search (both units of conglomerate Delek Group) decided on the merge of the two. In May 2017 the Merging process was completed when Avner was immersed into Delek Drilling. This established the position of Delek Drilling as the leading search body in Israel.
The Participating units of the partnership are traded on the
Tel Aviv Stock Exchange
The Tel Aviv Stock Exchange (TASE; ; colloquially known as The Bursa, ) is Israel's only public stock exchange and a public company that has been traded on the Tel-Aviv Stock Exchange since August 1, 2019. Legally, the exchange is regulated by ...
, and it is considered one of the ten largest bodies of trade in the Tel Aviv Stock exchange market.
In October 2017, Delek Drilling and the Russian
Gazprom
PJSC Gazprom ( rus, Газпром, , ɡɐzˈprom) is a Russian majority state-owned multinational energy corporation headquartered in the Lakhta Center in Saint Petersburg. As of 2019, with sales over $120 billion, it was ranked as the larges ...
signed a
Memorandum of Understanding on to jointly examine the possibilities of using natural gas as a fuel for vehicles and special equipment in Israel.
The Gas Framework
In December 2015, the Israeli Government approved the Natural Gas Framework, which constitutes a comprehensive regulation. Main principles of the Framework was that Delek must sell all their rights in the small fields
Tanin and Karish within a specified 14 month timeframe.
Delek Group
Delek Group is an Israeli conglomerate and one of Israel's largest companies, Delek Group is involved in the energy and infrastructure, with investments in upstream and downstream energy, water desalination and power plants. Delek Group' subsid ...
must sell all of its rights in the
Tamar field and
Noble Energy
Noble Energy, Inc. was a company engaged in hydrocarbon exploration headquartered in Houston, Texas. In October 2020, the company was acquired by Chevron Corporation.
The company was known as Noble Affiliates, Inc. until 2002.
As of December ...
must sell at least 11% of its rights by December 2021.
In 2016, Karish and Tanin Gas reserves were sold to
Energean Energean Oil & Gas. The deal followed the natural gas framework requiring Delek Drilling and Noble Energy to sell these two reservoirs, which contain 60 BCM of gas for $148 million.
In 2017, sale of 9.25% of the holdings of Delek Drilling in the
Tamar reservoir to the Tamar Petroleum partnership was completed for $980 million.
Discoveries
Delek Drilling, alongside its partners Avner and Noble Energy were the first to provide commercial quantities of natural gas to the Israeli market as it started flowing gas from the Mary-b field by the coast of
Ashkelon
Ashkelon or Ashqelon (; Hebrew: , , ; Philistine: ), also known as Ascalon (; Ancient Greek: , ; Arabic: , ), is a coastal city in the Southern District of Israel on the Mediterranean coast, south of Tel Aviv, and north of the border with ...
in 2004.
The field which was discovered in the year 2000 allowed setting up primary infrastructure for producing electricity using natural gas in Israel.
In 2009, Delek Drilling and Avner, played a leading role in discovering the Tamar gas reservoir alongside its partners Noble Energy,
Isramco
Isramco Negev 2 LP () is an American Israeli Limited Partnership that holds interests in oil and gas properties in Israel. The partnership shares are traded on the Tel Aviv Stock Exchange and have been a constituent of the TA-25 Index since Janua ...
and Dor. The discovered reservoir, 4.5 kilometers deep in a 1,700 meters deep waters, was the biggest deep waters discovery in 2009 worldwide. In 2010 the Leviathan gas field, twice the size of the Tamar gas field, was discovered by a partnership which included Delek Drilling, Avner, Ratio and Noble Energy.
In 2011 Delek Drilling, Avner and Noble Energy discovered the Afrodita gas field, deep inside the territorial waters of Cyprus. Delek Drilling took part in a few other significant revelations in the waters of Israel (reservoirs
Tanin, Dolphin, Karish and Tamar).
Discoveries by chronological order
* 1999 – Noa reservoir, discovered in cooperation with the
American
American(s) may refer to:
* American, something of, from, or related to the United States of America, commonly known as the "United States" or "America"
** Americans, citizens and nationals of the United States of America
** American ancestry, pe ...
drilling company
Noble Energy
Noble Energy, Inc. was a company engaged in hydrocarbon exploration headquartered in Houston, Texas. In October 2020, the company was acquired by Chevron Corporation.
The company was known as Noble Affiliates, Inc. until 2002.
As of December ...
.
* 2000 – Mary-B reservoir which together with the Noa reservoir combines the ''Yam Tethys'' project.
* 2009 – Dalit and Tamar reservoirs, discovered by Delek Drilling in cooperation with Avner, Noble Energy, Isramco and Dor, containing 306 BCM.
* 2010 – Leviathan reservoir, discovered by Delek Drilling in cooperation with Noble Energy, Avner, Ratio, containing 608 BCM.
* 2011 – Afrodita reservoir, discovered by Delek Drilling in cooperation with Avner and Noble Energy, on the coast of
Cyprus
Cyprus ; tr, Kıbrıs (), officially the Republic of Cyprus,, , lit: Republic of Cyprus is an island country located south of the Anatolian Peninsula in the eastern Mediterranean Sea. Its continental position is disputed; while it is geo ...
.
* 2012 –
Tanin reservoir, discovered by Delek Drilling in cooperation with Avner and Noble Energy containing 35 BCM.
* 2013 – Karish reservoir, discovered by Delek Drilling in cooperation with Avner and Noble Energy on the coast of
Haifa
Haifa ( he, חֵיפָה ' ; ar, حَيْفَا ') is the third-largest city in Israel—after Jerusalem and Tel Aviv—with a population of in . The city of Haifa forms part of the Haifa metropolitan area, the third-most populous metropol ...
, containing 70 BCM
Energean bought Karish and Tanin reservoirs from Delek Drilling and plans to invest about $1.8 billion in developing them.
Exporting Gas
Jordanian firms
Arab Potash
The Arab Potash Company (APC) is a company that is primarily involved in harvesting minerals from the Dead Sea. It is the eighth largest potash producer worldwide by volume of production and the sole Arab producer of potash. The company was forme ...
and Jordan Bromine signed a deal in 2014 to import 2 billion cubic metres of gas from Israel's Tamar field over 15 years. the gas is technically being sold to the Jordanians by the American company, Noble Energy (on behalf of the Israeli partners), and not directly by the Tamar partners which include Delek Drilling, Noble energy and
Isramco
Isramco Negev 2 LP () is an American Israeli Limited Partnership that holds interests in oil and gas properties in Israel. The partnership shares are traded on the Tel Aviv Stock Exchange and have been a constituent of the TA-25 Index since Janua ...
. The flow of natural gas began in January 2017, marking the country's first ever exports of natural gas.
After developing the different reservoirs, an agreement signed in September 2016 finalized the export of natural gas to the
Jordan
Jordan ( ar, الأردن; tr. ' ), officially the Hashemite Kingdom of Jordan,; tr. ' is a country in Western Asia. It is situated at the crossroads of Asia, Africa, and Europe, within the Levant region, on the East Bank of the Jordan Rive ...
ian electricity company
NEPCO from the
Leviathan gas field
The Leviathan gas field is a large natural gas field in the Mediterranean Sea off the coast of Israel, south-west of the Tamar gas field. The gas field is roughly west of Haifa in waters deep in the Levantine basin, a rich hydrocarbon area in ...
for a time period of 15 years and at a total amount of approximately 45 BCM.
A large scale agreement worth over $15 billion was signed in February 2018 and included gas transactions for 10 years for the amount of 64 BCM with the Egyptian company Dolphinos. The
Egypt
Egypt ( ar, مصر , ), officially the Arab Republic of Egypt, is a transcontinental country spanning the northeast corner of Africa and southwest corner of Asia via a land bridge formed by the Sinai Peninsula. It is bordered by the Mediter ...
ian president,
Abdel Fatah al-Sissi, addressed the deal: "It Has a lot of advantages for us (Egyptians), and I want people to be reassured." In September 2018, Delek Drilling and Noble Energy have announced that together with Egyptian company EastMed, they are acquiring a 39% stake in the EMG Egypt-Israel gas pipeline in order to fulfil their deal with Egypt's Dolphinus.
See also
*
Energy in Israel
Most energy in Israel comes from fossil fuels. The country's total primary energy demand is significantly higher than its total primary energy production, relying heavily on imports to meet its energy needs. Total primary energy consumption was ...
*
Natural gas in Israel
Natural gas in Israel is a primary energy source in Israel, mainly utilized for electricity production and to lesser degree in industry. Israel began producing natural gas from its own offshore gas fields in 2004. Between 2005 and 2012, Israel ha ...
*
Energy Triangle
The Energy Triangle is a natural gas extraction plan between the three allied countries Cyprus, Israel, and Greece. The three countries agreed to use the gas fields Tamar, Leviathan, and Aphrodite; found in 2009, 2010, and 2011 respectively. About ...
*
Leviathan gas field
The Leviathan gas field is a large natural gas field in the Mediterranean Sea off the coast of Israel, south-west of the Tamar gas field. The gas field is roughly west of Haifa in waters deep in the Levantine basin, a rich hydrocarbon area in ...
References
External links
Delek Drilling LPon
TASE
The Tel Aviv Stock Exchange (TASE; ; colloquially known as The Bursa, ) is Israel, Israel's only public stock exchange and a public company that has been traded on the Tel-Aviv Stock Exchange since August 1, 2019. Legally, the exchange is regul ...
{{TA 25 companies
Companies listed on the Tel Aviv Stock Exchange
Oil and gas companies of Israel
Companies based in Herzliya
Energy companies established in 1993
Israeli companies established in 1993