Chevron has taken a final investment decision to expand production at Israel's Leviathan natural gas field, the US oil major said on Friday. This move will lift supplies to domestic and regional markets including Egypt and Jordan as demand for Eastern Mediterranean gas grows.
Leviathan is one of the Eastern Mediterranean's largest gas fields and the cornerstone of Israel's energy system. Its exports to Egypt help supply LNG plants that ship gas to Europe.
Chevron said the expansion will raise total gas deliveries from Leviathan to about 21 billion cubic metres per year. The Leviathan expansion project is expected to come online towards the end of this decade.
Leviathan's partners include Chevron Mediterranean as the operator with a 39.66 per cent stake, NewMed Energy with 45.34 per cent, and Ratio Energies with a 15 per cent share.
"This milestone demonstrates our ongoing commitment to partner with the State of Israel to develop natural gas resources and provide essential energy to millions of people in Israel, Egypt and Jordan," said Jack Baker, managing director of Chevron's Eastern Mediterranean region.
Chevron's broader Eastern Mediterranean assets include Tamar gas-producing field offshore Israel and the Aphrodite gas field offshore Cyprus, which is under development.
(Reporting by Chandni Shah and Arunima Kumar in Bengaluru; Editing by Mrigank Dhaniwala)