Whilst some foreign firms are shunning Israeli investment as the Gaza conflict stretches on with no end in sight, Azerbaijan’s national energy champion Socar is seemingly prepared to go all in. With the ink barely dry on its 17 March award – alongside BP (a country entry) and Israel’s NewMed – of offshore exploration Zone I, and its 10% farm-in to 1bn cfd Chevron-operated Tamar awaiting regulatory approval, it is also looking to sign up to a third asset, exploration Zone E, MEES understands.
The three-block Zone E was one of four multi-block offshore areas to be offered up in 2023 bidding (MEES, 21 July 2023). But, though a consortium of Egyptian companies led by private upstream firm Cheiron alongside Israeli businessman Aaron Frenkel tabled a bid, no official award has yet materialized. With Israel making the awards on 29 October 2023, at the onset of its attacks on Gaza in the wake of Hamas’ 7 October assault on Israel, MEES understands that the Egyptian companies baulked at the geopolitical optics of Israel entry (MEES, 3 November 2023). UAE state energy giant Adnoc a few months later “suspended” plans to enter Israel via the joint purchase with BP of 50% of NewMed due to the “external environment” (MEES, 15 March). (CONTINUED - 905 WORDS)
