The owners of the Tamar natural gas license have signed a memorandum of understanding (MOU) to lease spacefor anchorage and warehousing with private port owner Israel Shipyards Ltd. for NIS 60 million. The companies, Noble Energy Inc. (NYSE NBL), Delek Group Ltd. (TASE: DLEKG), Isramco Ltd. (Nasdaq: ISRL; TASE: ISRA.L), and Dor Alon Energy Exploration Ltd. will use new service facilities for unloading and storing equipment needed to develop the Tamar gas field.
Development of Tamar is considered Israel's largest infrastructure project to date, at an investment of over $3 billion, according to the companies. The project is due to go into high gear in October, when the drilling platform hired by Noble Energy will arrive in Israel. The project will employee hundreds of people, many of them foreign engineers and other experts.
The companies signed the MOU with Israel Shipyards last month, and work will begin within days. Israel Shipyards beat Haifa Port Company Ltd. and Ashdod Port Company Ltd. for the contract.
However, it is possible that when Noble Energy, Delek and Ratio Oil Exploration (1992) LP (TASE:RATI.L) begin development of the Leviathan natural gas field, they will have to rent additional space at other ports, due to Israel Shipyards' limited capacity.
Published by Globes [online], Israel business news - www.globes-online.com - on July 14, 2010
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