At issue was whether policy on the allocation of gas from large deepwater discoveries was important enough to require a parliamentary vote.
The court confirmed a decision by a committee of ministers reserving 540 billion cu m of gas for domestic use and essentially limiting exports to 40% of Israel’s gas reserves.
Questions had arisen whether that export limit would jeopardize LNG schemes under consideration for giant Leviathan field operated by a group led by Noble Energy Corp. Noble has entered an agreement to farm out a Leviathan interest to Woodside Petroleum Ltd. of Australia to bring into the project a partner with LNG experience.
The export limit the government set June 23 was lower than one announced last year in a decision by the same committee that fell subject to controversy.
In an indication that the lower export limit hasn’t discouraged Woodside, the company said in a recent presentation that the June policy “provided a basis for a commercially viable export project for Leviathan.”