NSAI resource report published this morning by Israel Opportunity reveals oil and gas potential in Oz license estimated at 2.5 trillion cubic feet of natural gas and another 255 million barrels of oil
Rony Halman, Chairman of Israel Opportunity: the potential in the Leviathan Basin is tremendous. We hope to continue development and advancement of the energy market in our area
Eyal Shuker, CEO of Israel Opportunity: The Partnership's strategy is to spread risks and build a large portfolio of assets has proven itself and has allowed the Partnership to maximize the potential of the assets in which it is partner
The Partnership in the Oz license published this morning the resource report for the license that states that the license are has potential for the discovery of large amounts of gas and oil. According to the resource report prepared by NSAI, which prepared, inter alia, resource reports for Leviathan and Tamar, the amount of gas in the license is estimated at 2.5 TCF (trillion cubic feet) of natural gas and 255 million barrels of oil. For comparison purposes, to date, approximately 30 TCF of gas has been discovered off Israel's shores, with the largest reservoirs being Tamar, which contains 9 TCF and Leviathan, which contains 19 TCF.
The Oz license (formerly the Binyamin offshore permit area) occupies 400,000 dunam, at a distance of 50km off the coast of Tel-Aviv. The Partnership license, inter alia, includes Lapidot-Heletz, Teddy Sagi and Coleridge. In April 2012, "Israel Opportunity" entered as partner in 10% of the license in accordance with the Partnership's strategy to spread risks by holding a range of offshore licenses. The Partnership engaged in a transaction with FRENDUM INVESTMENTS in consideration for reimbursement of past expenses in the amount of $500,000 and participation in up to $3.45 million in expenses FRENDUM will have by the analysis of the seismic survey data. "Israel Opportunity" also holds 10% of the Pelagic exploration licenses, along with AGR, Teddy Sagi and Benny Steinmetz. The licenses cover a total area of 2 million dunam, approximately 170 square km west of Haifa and bordering on the east with the Ratio-Yam, which contains the Leviathan and on the west by Bloc 12 in Cyprus, which contains Aphrodite. Furthermore, the Partnership holds 10% of two other offshore licenses, Royee and Neta, along with Ratio and Edison in the offshore permit area Gal that covers 800,000 dunam approximately 150 square kilomteres west of Israel's shores.
According to Chairman of Israel Opportunity Rony Halman: the data dislosed in the resources report are even better than the estimates that Israel Opportunity had when it decided to enter the Oz license. "The Leviathan basin is rich in gas and we believe oil as well, and its potential is tremendous. A great deal of work is required and we are dedicating our efforts towards the development and advancement of exploratory activity in Israel and in Cyprus. We hope to find additional reservoirs in the Leviathan basin, and thereby help promote the energy market in our area. At the same time, we should remember that this is a high-risk sector that requires professional work along with a great deal of composure."
Israel Opportunity CEO Eyal Shuker says that the Partnership's strategy to spread risks and to build a large portfolio of assets has again proven itself. "The Partnership has a portfolio of assets, with $30 million in its fund allowing it to continue to realize their inherent potential. We believe that this strategy of spreading risks is the right one and it will allow the Partnership to promote, as quickly as possible, development of the assets in which it is partner."