The government of Israel has approved an agreement aimed at fast-tracking the development of gas resources from the Leviathan offshore gas field and at providing a more certain regulatory framework for the oil and gas industry.
In March 2016, the Supreme Court rejected the previous agreement that froze the terms of the deal (export quota, taxes, etc.) for a 10-year period. The new agreement will enable the state to have more flexibility and to change policies if necessary.
The Leviathan gas field, developed by Noble Energy (39.66%), Delek Drilling (22.67%), Avner Oil & Gas (22.67%), and Ratio (15%), was discovered in 2010 and was estimated to hold 21.9 Tcf (around 620 bcm) of gas reserves. The new resources report estimates reserves at 16.6 Tcf (nearly 470 bcm), which could shrink volumes for exports, since the government plans to retain a gas reserve of 450 bcm. Gas production is expected to start by the end of 2019.