Meged oil field

The Meged oil field is an oil field that was first discovered in the 1980s but declared to not be commercially viable at the time.[1] In 2004, Givot Olam declared to have made it commercially viable to drill. It is one of the largest on-shore oil fields in Israel. It began production in 2010 and produces oil as well as some natural gas. Its proven oil reserves are about 1,525 million barrels (242.5×10^6 m3).[2]

Meged oil field
Meged oil field at sunset, February 2011
Location of the Meged oil field within Israel
CountryIsrael
RegionCentral District
LocationRosh HaAyin
Offshore/onshoreOnshore
Coordinates32°2′27.22″N 35°0′0.76″E
OperatorGivot Olam
Field history
Discovery2004
Start of development2004
Start of production2010
Production
Estimated oil in place200 million tonnes
(~ 242.5×10^6 m3 or 1525 million bbl)

Overview

The Meged oil field is located near the towns of Kfar Saba and Rosh Ha'Ayin in Israel. It is situated close to the southern tip of the Palmyra rift system, a geological formation that extends across Syria to the northeast.[3] Givot Olam, which owns and operates the Meged license,[4] first announced its discovery of the Meged field in April 2004.[1] The field spans 200 square kilometers.[5]

  • Meged 2. In 1998 the partnership announced that in the course of tests it was conducting at the Meged 2 bore, unidentified fluids accompanied by gas gushed out of the bore at a rate of 400 barrels a day.[6] Meged 2 was abandoned in the years following.[7]
  • Meged 3. In 2000, after earlier having said it had found significant quantities of natural gas at the Meged 3 prospect, Givot announced a halt of drilling operations there on account of a technical failure. When the technical failure was resolved and drilling operations resumed, Givot announced that Meged 3 would be abandoned as the natural gas was not available in commercial quantities.[8]
  • Meged 4. After an exploratory drilling at the Meged 4 well in 1994 had failed to turn up oil in commercial quantities,[9] in 2003 Givot Olam reported that tests it was conducting at Meged 4 indicated the presence of oil and gas 4,400 meters below the surface.[10] 64 barrels of oil were recovered from the borehole before Givot announced in 2005 that it was discontinuing drilling operations after test results indicated that there was not enough oil to make development commercially viable.[11][12]
  • Meged 5. In 2009 the partnership announced that it had found indications of significant quantities of oil at its Meged 5 site.[13] In mid-2011 Givot reported that Meged 5 was producing oil at a rate of 800 barrels a day.[14] The Meged 5 well is located on land designated a training zone by the Israel Defense Forces.[15]
  • Meged 6. On June 19, 2013 the partnership announced that it had started drilling the Meged-6 oil well.[16]

In early January 2012, Givot Olam reported that the state had rejected the company's proposal to drill at Meged wells 6, 7 and 8.[17] Later in the month Givot reported that it had obtained approval to proceed with drilling operations at Meged wells 5, 6 and 14.[18]

Agreements

In 2010, Givot Olam sold 240 barrels of oil obtained from Meged 5 to Oil Refineries Ltd (BAZAN), an Israeli oil refining company.[19]

During the first quarter of 2011 Givot sold NIS4.6 million worth of crude oil extracted from the Meged field to refineries.[14]

An agreement signed between Givot Olam and Natural Gas for Israel Ltd. (GTL) in March 2012 stipulated that the former would supply natural gas to GTL from the Meged 5 well for a period of three years in exchange for $4.4 million, beginning in 2013.[20]

Religion

Givot Olam founder Tovia Luskin was drawn to the Meged site after interpreting a geological survey of the area in 1988 as confirming a biblical passage in the Book of Deuteronomy (33:15) and its associated commentary by Rashi.[21] According to Luskin, he visited the Lubavitcher Rebbe in New York in 1990 and received a blessing from him.[22][23][24]

In order to accommodate Jewish religious proscriptions against performing labor on the Sabbath, in 2011 Givot Olam introduced Shabbat clocks into its production system to obviate the use of manual faucets.[25]

Land rights

With the location of Meged Oil field close to the border between Israel and the West Bank, it is subject to a dispute over ownership rights.

Palestinians claim that Givot Olam decided that the field is commercially viable only after the creation of the Israeli West Bank barrier to the west of the field, which they claim is located within the borders of the Ramallah and al-Bireh Governorate.[26]

According to a source in the Palestinian Authority, 80% of the Meged oil field is on land owned by Palestinians.[27] Efraim Sneh has stated that although the oil drilling site is in Israel the oil reservoir may extend to the West Bank near the West Bank village of Rantis. Sneh suggested that cooperation between the Israeli and Palestinian sides could lead to the construction of a joint oil pipeline.[28]

Fracking

According to reports published by Givot Olam, the methods used in determining the potential for oil extraction at some of the Meged wells involve fracking.[29][30]

See also

References
  1. Enav, Peter (12 September 2004). "Drilling for the future in Israel". Spartanburg Herald-Journal. Jerusalem. Associated Press. p. E7. Retrieved 30 January 2012.
  2. "Gevaot Olam: Meged 5 Oil Field Has 1.5 Billion Barrels". Arutz Sheva. August 17, 2010. Archived from the original on 28 March 2012. Retrieved 1 January 2011.
  3. "Moses's oily blessing". The Economist. Jerusalem. 16 June 2005. Retrieved 6 May 2012.
  4. Kedmi, Sharon (27 December 2004). "Givot Olam ends stage 1 of Kfar Saba horizontal drill". Haaretz. Retrieved 5 May 2012. Givot Olam holds the license for the Meged site, which stretches over 200 square kilometers in the Sharon area, and holds exclusive drilling rights in the area, in proximity to Kfar Saba and Rosh Ha'ayin.
  5. Malichi, Asaf (5 March 2007). "American company to invest $50 million in Israeli oil well". Ynetnews. Retrieved 6 May 2012. Findings from Meged confirm the existence of an oil field spanning over 200 square kilometers (50,000 acres).
  6. Arlozorov, Merav (10 December 1998). "Signs of Oil at Givot Olam - Week Before Rights Issue". Globes. Retrieved 5 May 2012.
  7. Mosnaim, Ilan (9 April 2003). "Givot Olam to carry out tests at Meged-4". Haaretz. Retrieved 5 May 2012.
  8. Hayoun, David (31 October 2000). "Givot Olam abandons Meged 3 prospect near Rosh Ha'Ayin: Not enough gas". Globes. Retrieved 5 May 2012.
  9. Hayoun, David (18 November 2002). "Oil exploration co Givot Olam to invest $6m in Sharon prospect". Globes. Retrieved 5 May 2012.
  10. Mosnaim, Ilan (24 February 2003). "Company strikes oil near Kfar Saba". Haaretz. Retrieved 5 May 2012.
  11. Levy, Tal (22 August 2005). "Givot Olam throws in towel at Meged 4; share drops 9 percent". Haaretz. Retrieved 6 May 2012. About 64 barrels of oil were produced during the test, but its flow ceased, and therefore, 'horizontal drilling operations were halted and the equipment will be released.'
  12. Ben-Israel, Adi; Harman, Uriel (24 December 2009). גבעות דיווחה כי גילתה 'כמויות משמעותיות של נפט' בראש העין [Givot announced that it discovered 'significant quantities of oil' in Rosh Ha'Ayin]. Globes (in Hebrew). Retrieved 6 May 2012. כך, למשל, בדצמבר 2004 הודיעה החברה כי מצאה נפט בקידוח 'מגד 4', אך באוגוסט 2005 מסרה כי הקידוח נגמר ללא תוצאות מסחריות והעבודות שם הופסקו.
  13. Zano, Lior (24 December 2009). "Israeli company finds oil beneath Rosh Ha'ayin". Haaretz. Retrieved 5 May 2012.
  14. Zeno, Lior; Azran, Eran (24 June 2011). "Givot Olam says Meged 5 well producing at 800 barrels a day". TheMarker/Haaretz. Retrieved 5 May 2012.
  15. Ben-Israel, Adi (24 December 2009). "Photographers turned away from Givot Olam drill site". Globes. Archived from the original on 7 July 2012. Retrieved 5 May 2012. The well is located in an IDF firing zone, and Luskin promised to arrange an entry permit from the IDF.
  16. globes (20 June 2013). "Givot Olam begins drilling Meged 6 well". Globes. Retrieved 20 June 2013.
  17. "Givot request to drill 3 new Meged wells rejected". Globes. 8 January 2012. Retrieved 30 January 2012.
  18. Koren, Hillel (30 January 2012). "Energy Ministry approves Meged 6 field development". Globes. Retrieved 30 January 2012.
  19. Ben Yisrael, Adi (2 June 2010). בעיצומם של מבחני ההפקה: גבעות מכרה 240 חביות נפט לבז"ן [In the course of the extraction tests: Givot sold 240 barrels of oil to BAZAN]. Globes (in Hebrew). Retrieved 5 May 2012.
  20. "Givot signs $4.4m contract for Meged 5 gas". Globes. 21 March 2012. Retrieved 1 April 2012.
  21. Shamah, David (25 April 2012). "Oil magnate: Israeli tech can solve the world's energy crisis, if red tape doesn't tie it up". The Times of Israel. Retrieved 4 May 2012.
  22. Enav, Peter (12 September 2004). "An Israeli seeks oil in a land lacking it". Houston Chronicle. Retrieved 13 June 2014. (subscription required)
  23. Yisraeli, David (10 June 2011). "Blessings Materialize: Oil Production in Israel". Chabad. Retrieved 30 January 2012.
  24. Yeshayahou, Koby (12 June 2011). "Chabad article boosts Givot's share price". Globes. Retrieved 30 January 2012.
  25. Benari, Elad; Kempinsky, Yoni (28 June 2011). "Givot Olam Presents: Drilling for Oil Without Violating Shabbat". Arutz Sheva. Retrieved 5 May 2012.
  26. "Israel is stealing Palestinian oil and gas". Middle East Monitor. Archived from the original on 27 January 2014. Retrieved 19 June 2013.
  27. Mar'i, Mohammed (13 January 2012). "PA accuses Israel of drilling for oil in West Bank". Arab News. Retrieved 1 December 2013.
  28. Barkat, Amiram (19 March 2012). "'Givot can meet 10% of Israel's oil consumption'". Globes. Retrieved 1 April 2012.
  29. גבעות שוב מבהירה: קצב ההפקה הכולל הצפוי מ'מגד 5' - 1,400 חביות ביום [Givot again issues clarification: expected overall rate of production from 'Meged 5' – 1,400 barrels a day]. Nrg Maariv (in Hebrew). 7 March 2011. Retrieved 2 February 2012.
  30. Yeshayahou, Koby (30 January 2011). גבעות: נבצע את ה'פראק' במקטע 8 במהלך השבוע הקרוב [Givot: We will perform 'fracking' at segment 8 next week]. Globes (in Hebrew). Retrieved 2 February 2012.
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.