Noble Energy informed that the partners in the Leviathan field signed a gas sales and purchase agreement with the National Electric Power Company of Jordan (NEPCO).
Under the agreement, the Leviathan partners will supply NEPCO with a gross quantity of approximately 1.6 trillion cubic feet of natural gas from the Leviathan field, or 300 million cubic feet per day over a 15-year term, Noble Energy said in its statement.
The buyer has the option to purchase an incremental 50 MMcf/d for a total of up to 350 MMcf/d.
Natural gas supplied under this agreement will include industry-typical take-or-pay commitments, with pricing linked to Brent oil and a firm floor price, Noble said, adding that the gross contract revenues are estimated to be at US$10 billion.
The agreement follows deals with the Jordan Bromine Company and the Arab Potash Company, which will establish first gas exports to Jordan from the Tamar field in late 2016.
J. Keith Elliott, Senior Vice President, Eastern Mediterranean said that, including Israel sales contracts, total contracted volumes have reached between 400 MMcf/d and 450 MMcf/d from the field with an estimated 22 Tcf of recoverable natural gas resources, and a final investment decision could be reached by the end of 2016.
The Company expects to complete construction and field development to deliver the first gas from Leviathan in as little as three years following sanction. The initial Leviathan field development will be a subsea tie-back to a shallow-water platform with a pipeline connection through to Jordan.
Noble Energy operates Leviathan with a 39.66 percent working interest, with other interest owners being Delek Drilling with 22.67 percent, Avner Oil Exploration with 22.67 percent, and Ratio Oil Exploration (1992) Limited Partnership with the remaining 15 percent.