Israel orders temporary suspension of gas production at Karish FPSO: Energean

Israel has ordered the temporary suspension of gas production from the floating production vessel serving the offshore Karish gas field, operator Energean said June 13, following Israeli attacks against Iran and Iranian counterattacks.

Karish is one of three major gas fields offshore Israel, and gas from the field is used uniquely in the domestic Israeli market.

"All production activities have now been temporarily suspended and notices have been issued to Energean's customers and other stakeholders," the company said.

"Energean maintains a close dialogue with the energy ministry and other relevant stakeholders to facilitate the safe resumption of production as soon as possible," it said.

Israel's other gas fields are the Chevron-operated Tamar and Leviathan fields.

A Chevron spokesperson said June 13 that its people and facilities were "safe", but said questions regarding gas supplies from the fields should be put to the Israeli energy ministry.

The ministry could not be reached June 13 for immediate comment.

Israel targeted Iran's nuclear sites and senior military officials in a major overnight attack that saw Iran then retaliate with over 100 drones launched targeting Israel.

European gas prices opened higher June 13, with the Dutch TTF month-ahead price reaching Eur37.78/MWh in early trade, according to ICE data.

Platts, part of S&P Global Commodity Insights, last assessed the TTF month-ahead price on June 12 at Eur36.38/MWh.

Major producer

Israel is now a major producer of gas, and a key supplier to Egypt and Jordan.

The energy ministry said May 28 that Leviathan produced some 11.3 Bcm last year, Tamar 10.1 Bcm and Karish 5.8 Bcm.

Of the three, the Energean-operated Karish is Israel's newest offshore field, having started up in October 2022, while Leviathan began production in 2019 and Tamar in 2013.

Israeli gas consumption rose across both the power and industrial sectors in 2024, with total consumption reaching a new record high of 13.9 Bcm.

The ministry also said Israeli gas exports to Egypt and Jordan rose to 13.2 Bcm, an increase of 13.3% year over year.

Israel's exports to Egypt and Jordan of 13.2 Bcm accounted for some 49% of Israeli gas production last year.

New exploration

As well as its production assets, Israel is also hoping for more offshore exploration success.

A fourth licensing round was concluded in October 2023 with 12 exploration permits provisionally awarded to groups led by Azerbaijan's Socar and Italy's Eni, with six licenses granted for each consortium.

In March, Israel's energy minister Eli Cohen formally awarded the six licenses to the Socar-led group, which also includes BP and Israel's NewMed Energy. Each company holds a stake of one third in the consortium.

Additional licenses for the Eni-led group -- which also includes Dana Petroleum and Ratio Energies -- were expected to be awarded later and a fifth competitive process is also expected to be launched before the end of 2025.