The Israeli partners of Noble Energy Inc. (NYSE: NBL) in the Leviathan field - Delek Group Ltd. (TASE: DLEKG) and Ratio Oil Exploration (1992) LP (TASE:RATI.L) have distanced themselves from the presentation given by Noble about the oil potential in Leviathan and Cyprus's Block 12. Noble's estimates provided to US analysts are not in line with Delek and Ratio's reports to the Israel Securities Authority regarding oil and gas exploration.
Noble Energy said in its presentation that there is potential for 1.5 billion barrels of oil in Block 12 and a further 1.5 billion barrels of oil in Leviathan.
Delek and Ratio said, "All the details presented by Noble Energy at its investors' conference were not published on behalf of the partnership, its management or controlling shareholders. Furthermore, the details regarding gas and oil resources estimates detailed there were not in accordance with the ordinance."
The Israel Securities Authority requires, among other things, reporting on estimates of oil and gas fields, and the probability of those estimates being realized. However, Noble Energy is not bound by these rules in its reports to the US Securities Exchange Commission (SEC). Consequently, this is not the first time that the Israeli partners have found themselves at odds with the reports of its US partner.
Published by Globes [online], Israel business news - www.globes-online.com - on December 18, 2013
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