UPI – by Daniel J. GraeberHOUSTON, Dec. 24 (UPI) — A decision by an anti-trust authority in Israel is a “disturbing example” of the difficulty of doing business in the country, gas stakeholder Noble Energy said.
“The entry of Delek Group and Noble Energy into the Leviathan [natural gas] project has created a situation in which they control all of the gas reservoirs off the coast of Israel,” the Israeli Antitrust Authority said in a statement Wednesday.
Both companies control the Leviathan natural gas field, considered one of the region’s largest with an estimated 18 trillion cubic feet of reserves. They also control the nearby Tamar, estimated to hold as much as 10 trillion cubic feet of natural gas.
Noble, which has headquarters in Houston, is the only U.S. partner working in Israeli waters. The company’s chairman, Charles Davidson, said the decision sets a “harmful precedent” for Israel.
“The actions of the Antitrust Authority are another disturbing example of the uncertain regulatory environment in Israel,” he said.
A compromise deal had surfaced earlier this week whereby Delek and Noble would sell their stakes in the Karish and Tanin fields off the coast of Israel, which combine for an average 20.5 trillion cubic feet of reserves, in exchange for maintaining their holdings in the Leviathan and Tamar fields.
Noble Energy said the about-face presents an obstacle to further exploration and development of its assets in Israel.
The U.S. State Department facilitated talks this year that led to the signing of a deals for gas deliveries from Leviathan and Tamar.
Amit Lang, director general of the Israeli Ministry of Economy, told the Houston Chronicle in November that U.S. companies “might find gold” in the form of natural gas through partnerships in Israel.
There was no public statement made available by Delek.
that’s Palastinian gas,
Noble Energy should be prosecuted for theft and looting from a warzone.