Tel Aviv, December 18, 2019. Delek Group (TASE: DLEKG, US ADR: DGRLY) (“the Company”) refers to the regulatory filing of its subsidiary Delek Drilling (60% owned) regarding the injunction suspending Leviathan’s emissions permit:
Further to Sections 11(a) and (c) of the Update to the Description of the Partnership’s Business chapter, as was included in the Partnership’s quarterly report as of September 30, 2019 (Ref. no.: 2019-01-101553), regarding receipt of an air emission permit for the Leviathan rig (the “Emission Permit”) and regarding a petition that was filed with the Jerusalem District Court against the Head of the Air Quality Division at the Ministry of Environmental Protection and the operator of the Leviathan project, Noble Energy Mediterranean Ltd. (“Noble”, and collectively, the “Respondents”), by Zichron Yaakov Local Council, Zalul Environmental Association, the Jisr az-Zarqa Local Council, the Megiddo Regional Council, the Pardes Hanna-Karkur Local Council and the Hefer Valley Regional Council, in connection with the Emission Permit, the Partnership hereby respectfully updates that on December 17, 2019, the court decided to grant an interlocutory injunction according to which, pending another decision, the Respondents will be barred from carrying out on the Leviathan rig activity that entails the emission of gases, and that the Emission Permit will be suspended (the “Interlocutory Injunction”).
A consolidated preliminary hearing on the motion for an interim injunction and on the petition has been scheduled for December 22, 2019. The court stated in its decision that the Respondents are entitled to file a motion to bring forward the hearing of the interim injunction, and accordingly each one of the Respondents filed a motion to bring the hearing forward to today, December 18, 2019. These motions were granted by the court, which brought the hearing of the interim injunction forward to today.
In the Partnership’s estimation, based, inter alia, on an opinion of the legal advisors of the Leviathan project’s partners, the chances of the Interlocutory Injunction being cancelled are greater than 50% and the chances of the motion for an interim injunction and of the petition being dismissed are higher than 50%. Insofar as the Interlocutory Injunction is removed at the hearing today, the transport of the natural gas from the Leviathan reservoir is expected to begin shortly thereafter, and accordingly, no delay is expected in the planned timetables for commencement of commercial production, namely by the end of December 2019.
The partners in the Leviathan project and their holding rates are as follows:
|Noble Energy Mediterranean Ltd.
|Ratio Oil Exploration (1992), Limited Partnership
Delek Drilling Management (1993) Ltd.
General Partner of Delek Drilling - Limited Partnership
By Yossi Abu, CEO
Yossi Gvura, Deputy CEO
This is a convenience translation of the original HEBREW immediate report issued to the Tel Aviv Stock Exchange by the Company on December 18, 2019.
About The Delek Group
The Delek Group, Israel's dominant integrated energy company, is the pioneering leader of the natural gas exploration and production activities that are transforming the Eastern Mediterranean's Levant Basin into one of the energy industry's most promising emerging regions. Having discovered Tamar and Leviathan, two of the world's largest natural gas finds since 2000, Delek and its partners are now developing a balanced, world-class portfolio of exploration, development and production assets. Ithaca Energy, Delek Group’s North Sea operator, concluded the acquisition of Chevron’s North Sea assets for USD 1.67 billion in November 2019. The assets include 10 fields producing 60 kboe per day, with 131 mboe of 2P reserves and 45 mboe of 2C reserves. Delek Group shares are traded on the Tel Aviv Stock Exchange (TASE:DLEKG) and are part of the TA 35 Index.
For more information on Delek Group please visit www.delek-group.com
Head of Investor Relations
Delek Group Ltd.
Tel: +972 9 863 8443