Israel will relax its natural gas export quotas

Sinopec News Network reported on June 1, according to crude oil news, the financial website Calcalist reported on Monday that an inter-ministerial committee responsible for formulating natural gas policies recommended that Israel should increase fuel exports to neighboring countries in view of the decline in Israel’s domestic natural gas consumption.

According to Calcalist, Israeli natural gas field owners are allowed to export 40% of total annual fuel production, which is about 830 billion cubic meters.

The committee also stated that if more natural gas fields are discovered in Israeli territorial waters, export quotas should not be imposed at all.

In February, the Egyptian Minister of Petroleum and Mineral Resources Tarek el-Molla visited Israel.

The committee believes that the relaxation of quotas will lead to more contracts signed between Israel and Egypt and Jordan, and will strengthen the political ties between Israel and its Arab neighbors, and further establish Israel's status as a regional energy power.

The committee is composed of members of the Ministry of Energy, the Ministry of Finance, the Ministry of Justice, the Ministry of Foreign Affairs and the Environment, the Antitrust Regulatory Agency, the National Economic Council and the Israel National Security Council.

In October of this year, the Israeli government set a goal that by 2030, 30% of Israel’s electricity production will come from renewable energy sources, which will reduce local natural gas consumption.

The Leviathan oil field is Israel’s largest oil field.

　　These two fields, along with the smaller Karish and Taning fields, are regarded as the wealth of a country traditionally lacking natural resources.

　　Cao Haibin excerpted from Crude Oil News

　　The original text is as follows:

　　Israel Reportedly Set to Ease Export Quotas of Natural Gas

　　An inter-ministerial committee in charge of setting out natural gas policies has recommended that Israel increase the amount of fuel it exports to neighboring countries in light of a reduction of local consumption, the Calcalist financial website reported on Monday.

　　The owners of Israel's natural gas fields are allowed to export a total of 40 percent of fuel produced per year, some 830 billion cubic meters (BCM), Calcalist said.

　　The committee also said that if additional gas fields are found within Israel's territorial waters, there should be no export quotas imposed at all.

　　In February, Egypt's Minister for Petroleum and Mineral Resources Tarek el-Molla visited Israel, the first public visit by a senior Egyptian government official in five years.

　　The easing of the quota will lead to additional contracts with Egypt and Jordan, the committee assessed, and will strengthen political ties between Israel and its Arab neighbors, further establishing Israel as a regional energy force.

　　The committee is made up of members of the Energy, Finance, Justice, Foreign and Environment ministries, the antitrust regulator, the National Economic Council and the Israel National Security Council.

　　In October, the Israeli government set an aim of having 30 percent of Israel's electricity production come from renewable sources by 2030, which will lead to lower natural gas consumption locally.

　　The Leviathan field, the nation's largest, started pumping on December 31, 2019, followed in 2013 by the nearby Tamar, the second largest, which holds some 10 trillion cubic feet (tcf) of natural gas, half of the amount held in Leviathan.
Israel has been exporting gas from the Tamar field to Jordan since January 2017, and the Leviathan field started exports to Egypt in January 2020.
The Leviathan deals are considered to be bigger and more significant for the economy.

　　These two fields, along with the smaller Karish and Tanin fields, are seen as a bonanza for a nation that has traditionally been starved of natural resources.
They provide a stable source of locally produced energy from four different fields, leading to a more secure supply that is enough to feed all of Israel's electricity needs for decades, and with the option of exports, pave the way for regional natural gas diplomacy.
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