Greek company Energean Oil & Gas has revealed initial details for development of Karish and Tanin natural gasfields in offshore Israel.

During a press conference in Tel Aviv, the company said that the two fields will be developed using a floating production, storage and offloading (FPSO) unit.

Using the FPSO, the company expects to be able to maximise recovery of reserves and minimise environmental impact and allows safe processing of oil, storage and offloading with minimal onshore installations.

It will also allow the gas to be supplied at competitive prices for the benefit of Israeli consumers and the Israeli economy.

Development of this production system will cost $1.3bn to up to $1.5bn.

Energean is looking for a financial partner for the development of these offshore fields, which are located around 100km from the Israel coast and reported to contain 2.4 trillion cubic feet of gas reserves.

"We are ready to proceed as quickly as possible with the development of the fields."

The Greek company bought the Karish and Tanin natural gasfields in August last year, while the acquisition was approved by the government last month.

Energean CEO Mathios Rigas said: “We are delighted to be progressing strongly towards the development of a world-class asset with 2.4 trillion cubic feet of natural gas, which will bring diversification of supply and competitive prices to the Israeli domestic market.

“With the continued support and swift decision making of the Israeli Government and the cooperation of other stakeholders in the country, we are ready to proceed as quickly as possible with the development of the fields.”

A formal field development plan (FDP) for both fields will be submitted in mid-2017. The projects are expected to produce first gas in 2020.

Image: Energean Oil & Gas press conference in Tel Aviv. Photo: courtesy of Energean Oil & Gas.