ATP Oil & Gas Corp is expanding its deepwater operating and infrastructure expertise to offshore Israel. Subject to approval of the Ministry of National Infrastructures (MNI), ATP has signed agreements to acquire five licences, of which two are pending, in approx. 4,000 feet of water.
T. Paul Bulmahn, Chairman and CEO stated, 'the strategic use of our deepwater technical expertise in Israel is one facet of ATP’s global diversification plan. Each licence offers an attractive opportunity in the Levantine Basin, which is emerging as a prolific area. The recently announced discoveries in offshore Israel totaling approx. 25 Tcf of natural gas have demonstrated a significant catalyst for the offshore hydrocarbons sector.
ATP’s ability to enter this area during the early stages of exploration and development is a great testimony to our expertise and commitment to worldwide offshore acquisition and development. This also enhances our future ability to acquire and develop desired proved undeveloped assets in this region. Israel is working towards energy independence and security of its natural resources by encouraging domestic offshore exploration and production.
ATP will operate all its licences with working interests ranging from 40% to 50%. Upon the award of the licences, expected before the end of March 2011, ATP will discuss its estimated capital program projected to be minimal in 2011 and resource potential for the acquisitions.
