TEL AVIV, Israel, June 3, 2010 /PRNewswire/ -- Delek Group (TASE:
DLEKG, OTCQX; DGRLY hereinafter "the Company") reported that its
subsidiaries Delek Energy Ltd., Delek Drilling L.P. and Avner Oil
& Gas Exploration L.P. published the following immediate
report;
Following the meeting of the partners of the various projects
(according to the subject) that took place 2nd June 2010 and the media reports Delek
Drilling L.P. and Avner Oil & Gas Exploration L.P.
("Partnership") are pleased to announce as follows:
Preliminary results from processing and interpretation of the
three dimensional seismic survey:
The Partnership is pleased to announce that on 6th February 2010 Noble Energy Mediterranean Ltd.
(Hereinafter: "Noble"), operator of the partnerships, during the
meeting presented the preliminary findings from the processing and
interpretation of the three dimensional seismic survey (3D),
carried out on licenses "Amit", "Rachel" and parts of the "Hannah",
"David" and "Eran" Licenses (hereinafter: "Ratio Yam") and the
licenses "Alon A" and "Alon B".
Noble initially focused on initial processing and interpretation
of the seismic data covering the "Leviathan" prospect found in
tertiary layers of sand (corresponding to the reservoir sands
identified in Tamar (the "tertiary sands")) contained in the
licenses "Rachel" and "Amit". Noble estimates, on the basis of the
above information, that the gross mean recoverable resource of
natural gas in the prospect is about 16 TCF (about 453 BCM), and
that the probability of Geologic Success is 50% . In light of the
above, Noble intends soon to recommend to the partners the drilling
of an exploration well on the Leviathan prospect, which will begin
in the last quarter of 2010. It should be noted that Noble has not
yet finalized a drilling program for the well and therefore has not
yet submitted final plans or a budget to the partners for this
well. Drilling of the well will be subject to the approval of the
Partners.
Additionally, Noble said that following the initial processing
and interpretation of this seismic data, it identified additional
tertiary prospects on the Ratio Yam licenses ("the other Ratio
Prospects) with an unrisked estimated gross mean resource of
approximately 3 TCF (approximately 85 BCM). This estimation does
not calculate the geological probability of finding hydrocarbons
within these prospects.
In addition, Noble said to the Partnership that on the basis of
the 2D and/or 3D seismic data, they have identified additional
tertiary prospects in other licenses, in which the Partnership owns
rights and operates in a joint venture together with Noble, and
including in the area of Block 12 in Cyprus ("Additional Prospects"). Noble
estimates that the unrisked gross mean resource potential of the
Leviathan prospect, the Other Ratio Prospects and the Additional
Prospects amounts to more than 30 TCF (about 850 BCM). This
estimate does not calculate the geological probability of finding
hydrocarbons within these prospects.
It should be noted that the Other Ratio Prospects and the
Additional Prospects identified are in initial stages of formation,
and the final geological probability of discovering hydrocarbons
has still not been formulated within these prospects.
Furthermore, Noble noted that it began to examine the potential
existence of additional layers of pre-Miocene age (significantly
deeper than the tertiary sand layers) in the Partnership's Licenses
(including the Tamar and Dalit areas), which may have further
potential for oil and gas. These examinations have not yet
crystallized into specific prospects.
Warning with regard to "forward-looking information" - The
estimates cited above is information, as provided - by Nobel,
including the future average economic potential of the natural gas
reserves in the prospect, and the geological probability of finding
hydrocarbons, are forward-looking statements within the meaning of
the Securities Act. The partnership has no an independent
examination of the information or the estimates above and cannot
vouch for its accuracy. It should be emphasized that in accordance
with the best knowledge of the partnership, the values provided by
Noble is based on a broad model of the prospect, which is based on
a large number of data variables and assumptions include estimates
of workload, of which some are subjective and speculative (data not
proven and based on partial information and various assumptions),
and the model is very sensitive to the above variables, and which
may change materially and therefore change the estimates. There is
no certainty about these above-mentioned estimates which may be
updated as new information is accumulated, as a result of the
complex factors associated with exploration and production projects
of natural gas and oil.
Follow-up evaluation of natural gas reserves in the Tamar
Following on from our immediate report dated August 8, 2009 ("Previous Report"), we are
pleased to announce that Noble Energy Mediterranean Ltd..
(Hereinafter: "Noble") the Tamar operator, has announced that it
has received a report from Netherland, Sewell and Associates, Inc.
(Hereinafter: "NSAI") concerning the natural gas reserves in Tamar.
The update was based on the results received in the analysis of the
cores extracted from the Tamar 2 well. NSAI is a leading
independent engineering consulting firm that provides third party
estimates of oil and natural gas reserves.
According to the NSAI report, the Tamar natural gas reserves,
which will be categorized as 2P Reserves (Proved + Probable)subject
to the approval of the Tamar field development plan (which will
also include a reasonable expectation to sell natural gas produced
from the field) are estimated at 8.7-TCF (about 247 BCM), compared
with about 7.7 TCF (about 218 BCM), reported in our Previous Report
(an increase of about 13%). The 1P gas reserves (Proved Reserves),
total about 6.5 TCF (about 184 BCM), compared with about 6 TCF
(about 170 BCM) reported in our Previous Report (an increase of
about 8%).
NSAI also provided a report estimating the Gross Mean Resources
in Tamar to be 8.4 TCF (about 238 BCM), compared with about 7.3 TCF
(about 207 BCM) reported in our Previous Report (an increase of
about 15%).
Tamar field holding percentages are as follows:
Noble Mediterranean: 36.00%
Israemco Negev 2, limited partnership: 28.75%
Delek Drilling, limited partnership: 15.625%
Avner Oil Exploration, Limited Partnership: 15.625%
Dor Gas exploration, limited partnership: 4.00%
Warning with regard to "forward-looking statements". The data
presented above including NSAI estimates of the volume of the
well's natural gas reserves, as well as estimates of the natural
gas reserves at Tamar, constitute Forward Looking Statements as
defined under the Israel Securities' Law. These estimates are based
on geological, geophysical and other estimates received from the
Drill Operator and serve, at this time, only as estimates whereby
there is no certainty as of yet with regards to them. The
Partnership has not conducted its own estimates or independent
evaluations of these said estimates. These estimates are expected
to be updated as additional information is accumulated, including
as a result of the continued analysis of the well proceeds, the
conduction of production tests and the conduction of validation
drilling, should they be conducted, and/or as a result of a variety
of factors related to projects searching for, and producing,
natural gas.
Natural gas reserves update at Mari-B field
Following the immediate report dated March 4, 2010, Noble announced to the partnership
that on the basis of production data analysis, including data on
production and reservoir pressure history at Mari-B, it estimates
that natural gas reserves in Mary-B may increase by 50-100 BCF
(about 1.4 - 2.8 BCM) which assessment is under review at NSAI.
Warning with regard to "forward-looking statements" - The data
presented above, regarding the natural gas reserves in the Mary-B
are all based on geological geophysical and other information, and
are received from the drilling field at Mary B and Nobel, the
project operator, which at this stage has provided its professional
assessments, for which there is still no certainty, and is
considered forward-looking information within the meaning of the
Securities Law. The partnership has no independent evaluation or
testing of the data, and is received as stated. These estimates may
be updated as information accumulated and / or as a result of
complex factors associated with exploration and production projects
of oil and gas, including a result of continued production data
analysis in the near future.
THIS IS A SUMMARY OF THE HEBREW ANNOUNCEMENT ISSUED TO THE TEL
AVIV STOCK EXCHANGE ON JUNE 03, 2010.
FOR FULL DETAILS PLEASE SEE http://WWW.TASE.CO.IL
About The Delek Group
Delek Group is the leading energy & infrastructure group
based out of Israel with
investments in upstream & downstream energy, water desalination
and power plants globally. In addition, Delek is the number one
importer & distributor of vehicles in Israel and owns insurance assets in
Israel and the US. Earlier this
year, Delek Group, through its subsidiaries, discovered significant
quantities of high quality natural gas off the coast of
Israel. Delek Group sales reached
over 43 billion Israeli shekel in 2009.
Contact
Dalia Black
VP of Investor Relations
Delek Group
Tel: +972-9-863-8444
Email: black_d@delek.co.il
Ehud Helft / Kenny Green
International Investor Relations
GK Investor Relations
Tel: (US) +1-646-201-9246
E-mail: ehud@gkir.com / kenny@gkir.com
