11 October 12 11:32–Modiin Energy LP (TASE:MDIN.L) has decided to exercise its option to increase its acquisition of stakes in the East and West Daniel offshore licenses from Isramco Ltd. (Nasdaq: ISRL; TASE: ISRA.L) to 15% from 10%. The Daniel licenses are adjacent to the Shimshon license, where natural gas has been discovered.
Currently, Isramco and its affiliates own 60% of the two Daniel licenses, and ATP Oil & Gas Corporation (Bulletin Board: ATPAQ) owns 40%, including 5% by its Dutch subsidiary, ATP East Med Number 1 BV.
The Shimshon license is located 92 kilometers west of Ashkelon in 1,100 meter deep water. In September, Modiin Energy announced a revised estimate by Netherland Sewell & Associates Ltd. (NSAI) of the license’s best estimate conditional resources of 0.55 trillion cubic feet (TCF) of gas, less than a quarter of the initial best estimate of 2.3 TCF with a 20% geological probability of success, announced a month earlier. Nonetheless, Modiin Energy says that the license’s condition resources justify its development…Read More>>