Minister of National Infrastructures, Energy and Water Resources Yuval Steinitz was interviewed this morning in the Israeli media about his meeting yesterday with Delek Group Ltd. (TASE: DLEKG) controlling shareholder Yitzhak Tshuva in an attempt to solve the long-running gas monopoly crisis. Steinitz said, "I won't go into the outline of the agreement now but the aim is to end the matter so that we can finally develop our huge gas reserves."
Steinitz added, "As soon as there will be an outline agreement it will be published but at the moment it is being discussed. We need to create attractive conditions in order to develop the gas fields and at the moment foreign companies are not coming to drill any more wells. The only way to reach a situation in which there won't be a monopoly is to develop more gas fields in the Mediterranean."
He continued, "The State of Israel suffers from excessive regulation. Intentions are good and each regulator is concerned about competition but I've taken the lead now in discussions."
Regarding the timetable he said, "Everything needs to be very fast. Iran has 40 times the reserves that we have and after their agreement with the West foreign companies will flock there. I want to complete a solution within two to three weeks."
Published by Globes [online], Israel business news - www.globes-online.com - on June 17, 2015
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