Yossi Abu on gas pricing
From יוסי אבו, מנכ”ל NewMed Energy, משק הגז הטבעי – ישראל והזירה האזורית · · Bizportal ביזפורטל
“We are in Europe. A natural gas discovery there means that I don't sell the natural gas at the regional average where we are around $5. Today, if I look at the average gas in Europe, it is $12, $13, $14. That means every molecule there is immediately worth three times a molecule in Israel, and I am not even talking about the tax system, which is much more favorable. The economic potential we see there is that every well there can be a game-changer for us at the level of the Tamar discovery, the Leviathan discovery.”
On , Yossi Abu, CEO at NewMed Energy, spoke about gas pricing during יוסי אבו, מנכ”ל NewMed Energy, משק הגז הטבעי – ישראל והזירה האזורית on Bizportal ביזפורטל.
About Yossi Abu
Yossi Abu, CEO of NewMed Energy, has been active in investor calls and industry conferences discussing the company's financial results and strategic plans. In early 2023, he reported record quarterly production and earnings, including a net profit of $121 million for the first quarter. Abu stated that the company paid $280 million of a $500 million bond early and announced a $15 million dividend. He also discussed a non-binding offer from BP and ADNOC, saying the company is working on due diligence, an independent committee assessment, and shareholder agreements, with a target of eight weeks to finalize a shareholder agreement and two to three months for regulatory approval. Abu has emphasized the company's focus on expanding its natural gas operations. He said NewMed is working to increase Leviathan production capacity to 14 BCM per year by mid-2025 and is evaluating a floating LNG project, for which partners approved a $100 million budget. He also noted the company is appraising the A3 well in the Aphrodite field, aiming to develop it using existing infrastructure in Cyprus. At an energy conference, Abu stated that the company is working to double Leviathan volumes to 24 BCM and is exploring pipeline options to Egypt. In Morocco, he said NewMed is interested in natural gas, renewables, and hydrogen, adding that the country has the potential to become a global energy hub.