Egypt: Gas Sale Contracts Noble Energy Signs Agreements with Dolphinus Holdings to Supply Natural Gas
Each of the dual agreements for the Leviathan and Tamar fields are expected to provide total contract quantities of 1.15 trillion cubic feet of natural gas. Natural gas is scheduled to be supplied to customers in Egypt.
Texas/USA – Noble Energy has recently signed agreements to sell significant quantities of natural gas from the Leviathan and Tamar fields to Dolphinus Holdings so that the company can supply gas in Egypt. The agreements included two contracts —one for natural gas from the Leviathan field and another from the Tamar field—and are expected to provide total contract quantities of 1.15 trillion cubic feet of natural gas each. The natural gas will be supplied to industrial and petrochemical customers as well as future power generations in Egypt.
Under the agreement, sales volumes of the Leviathan field are anticipated to begin at a firm rate of approximately 350 million cubic feet of natural gas per day (mmcf/d) by the end of 2019. For the Tamar agreement, sales volumes are anticipated to begin at an interruptible rate of upto 350 mmcf/d.
Both the contracts have been signed for a 10-year term. Both agreements are subject to closing obligations including regulatory approvals and licenses, and finalizing gas transportation agreements. Noble Energy operates the Leviathan and Tamar gas fields with a 39.66 % working interest and 32.5 % working interest, respectively. Earlier in 2018, the company announced a 7.5 % working interest divestment in the Tamar field which is anticipated to close in the first quarter of 2018, at which time the company’s interest in Tamar will reduce to 25 %.