E. Mediterranean gas work faces geopolitical hurdles

Full development of giant natural gas discoveries in the eastern Mediterranean Sea depends on solutions to tough geopolitical problems. Groups led by Noble Energy Inc. have found fields off Israel and Cyprus, most of them in ultradeep water, that might contain 40 tcf of natural gas or more. New production promises to keep Israel, where gas demand is growing by as much as 17%/year, self-sufficient for years. But future development will push gas deliverability beyond the needs of Israel and its immediate neighbors, with which relations are always touchy. Much new supply will have to be exported in some amount, somehow. While proposals for pipelines and LNG schemes have emerged, they all fac...

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