Israel May Join Gas Exporting Nations With Leviathan Discovery

Still, additional gas would take up to a decade and “billions of dollars” in investments to produce since there’s no infrastructure to liquefy gas, said Amit Mor, head of Eco Energy Ltd, an Israeli investor. The country is also unlikely to build pipelines through Turkey and other neighbors because of political tension, especially after the diplomatic fallout following the May 31 raid of a flotilla carrying aid to Gaza that left nine dead, Mor said.

“The results of the survey are very encouraging and Israel has the potential to become an energy exporter, fortifying its geopolitical stance,” said Mor. “But we need to be very patient now and wait for additional finds.”

While the International Energy Agency expects an “acute glut” of gas during the next five years, production will then need to rise to offset a 50 percent drop in output from existing fields by 2030, Chief Economist Fatih Birol said in November. Executive Director Nobuo Tanaka said in March that investment of $5 trillion will be needed in the gas industry by 2030.

Bloomberg