SEATTLE (Oil Monster): Chevron Mediterranean Limited and state-owned Israel Natural Gas Lines signed a major transportation deal to commission a new pipeline and compression capacity, which would result in significant expansion of natural gas shipments from Israel to Egypt.
Subject to obtaining the required regulatory clearances and completing the agreements, the construction of the proposed Nitzana export route is anticipated to start in Q4 of this year. It is anticipated that the construction would be finished in three years. The pipeline is expected to increase Israel's daily export capacity to about 2.2 billion cubic feet when it is finished.
The deal calls for Chevron to build a compressor station in southern Israel at Ramat Hovav. Additionally, Israel Natural Gas Lines will be in charge of installing about 65 kilometers of pipeline to the border crossing at Nitzana. When finished, it could move up to 600 million cubic feet of natural gas every day.
The Nitzana export route will contribute to energy security in the Eastern Mediterranean region and yield significant economic benefits at home. According to Jack Baker, general director of Chevron's Eastern Mediterranean Business Unit, it demonstrates the company's dedication to promoting energy security in Israel and the surrounding area.
YOU MAY ALSO BE INTERESTED IN:
Egypt to Ramp Up Natural Gas Imports to Cover Deficit
EGAS Signed Key Oil and Gas Exploration Deals with Global Majors
