Early indications of natgas at Israel's Tamar site

TEL AVIV | Mon Jan 12, 2009 5:52am EST

TEL AVIV Jan 12 (Reuters) - Noble Energy (NBL.N) has advised its Israeli partners that preliminary analysis at the Tamar drilling site off Israel's Mediterranean coast indicates the presence of natural gas.

"All information is based on initial indications only, and, as of yet, no determination can be made regarding whether the drilling has resulted in the discovery of a natural gas reservoir and the extent of the reservoir, and its commercial viability," the Israeli companies said in a statement on Monday.

The companies said they would publish a further statement in coming days on the joint venture's decision on whether to proceed with production tests.

Noble Energy owns 36 percent of the site while Isramco Negev 2 owns 28.75 percent and Avner Oil Exploration (AVNRp.TA) and Delek Drilling (DEDRp.TA) each hold 15.625 percent. Dor Gas Exploration owns 4 percent.

The Tamar-1 drilling site is located 90 km west of the northern port of Haifa and is considered to be the most promising drilling site in Israel, Isramco said in October.

Isramco Negev 2 is a subsidiary of Naphtha Israel Petroleum Corp (NFTA.TA).

Noble, Delek and Avner are already developing a natural gas site off Israel's southern coast with proven reserves of over 30 billion cubic meters of gas. (Reporting by Tova Cohen; Editing by Jon Loades-Carter)

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