NewMed Vitality indicators MOU to promote Aphrodite fuel to Egypt
NewMed Vitality (TASE: NWMD) has signed a memorandum of understanding (MOU) to promote 100 billion cubic meters (BCM) of pure fuel to Egypt from the Cypriot offshore Aphrodite fuel discipline.
Egypt is a large fuel shopper, and the shutdown of Israel’s Leviathan fuel discipline for 32 days throughout to the struggle with Iran has led to energy outages in Egypt.
The Aphrodite reservoir, which can be exported to Egypt by way of a floating platform and pipeline to the Nile Delta area, will assist fulfill demand for fuel that may solely improve within the coming years because of Egypt’s inhabitants development.
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NewMed mentioned, “The settlement is legitimate for 15 years or till the tip of economic manufacturing from the reservoir, whichever comes first. As well as, the reservoir partnership could have the suitable to increase the settlement for a further 5 years.”
The settlement can be carried out utilizing a “take or pay” mechanism, which means that the provision can be fastened, and Egypt can be compelled to pay even when it doesn’t want the total quantity of fuel within the settlement. The worth can be linked to the worth of a barrel of Brent crude oil, which is at the moment at a comparatively excessive degree and is predicted to say no solely regularly within the coming years.
The Aphrodite offshore fuel discipline barely extends into Israel’s financial waters, the place it’s referred to as Yishai, and the Israeli and Cypriot governments are at the moment in negotiations to find out the exact boundary between the reservoirs to allow their growth.
NewMed Vitality CEO Yossi Abu mentioned, “In the present day we mark one other stage within the growth of the Aphrodite reservoir. Approval of the MOU for the export of all pure fuel from the Aphrodite reservoir is a important step on the best way to approval of a Ultimate Funding Choice (FID) and the beginning of manufacturing. This settlement is proof that pure fuel is a big participant in regional cooperation and has the facility to strengthen Israel’s place. I consider it’s going to present additional reinforcement on the best way to additional worldwide agreements.”
Aphrodite has about 100 BCM of pure fuel, barely greater than the “Karish” and “Tanin” reservoirs however lower than the “Tamar” and “Leviathan” reservoirs. NewMed holds 30% of the reservoir, whereas Chevron and Shell maintain 35% every.
Revealed by Globes, Israel enterprise information – en.globes.co.il – on April 9, 2026.
© Copyright of Globes Writer Itonut (1983) Ltd., 2026.
