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Israel--New natural gas producer in the Mediterranean

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  • Shaffer, Brenda

Abstract

In 2009 and 2010, major offshore natural gas reserves were discovered near the State of Israel. This article examines Israel's newly discovered natural gas reserves and the implications of this discovery for Israel, the Middle East, and the Mediterranean region. The article will discuss Israel's energy security approach; the role of natural gas in Israel's energy consumption patterns; the organization of Israel's natural gas sector; regional political and security implications of the natural gas discoveries; the prospects for export, and the outlook for various natural gas markets. These new discoveries significantly improve Israel's energy security. They may also spur Israel to develop technologies related to utilization of natural gas in a variety of sectors, such as transportation. The discoveries may contribute to the emergence of a number of maritime border delimitation conflicts in the Eastern Mediterranean. At current volumes, the Israeli discoveries will not be a game-changer for gas markets in southern Europe or liquefied natural gas (LNG) markets. However, they will lead to expanded natural gas consumption in the region. In addition, offshore exploration efforts in Israel and in neighboring countries are intensifying. Additional discoveries may turn the Eastern Mediterranean region into a new source of natural gas and oil.

Suggested Citation

  • Shaffer, Brenda, 2011. "Israel--New natural gas producer in the Mediterranean," Energy Policy, Elsevier, vol. 39(9), pages 5379-5387, September.
    • Handle: RePEc:eee:enepol:v:39:y:2011:i:9:p:5379-5387
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    References listed on IDEAS

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    1. Bahgat, G., 2005. "Energy partnership: Israel and the Persian Gulf," Energy Policy, Elsevier, vol. 33(5), pages 671-677, March.
    2. World Bank, 2007. "West Bank and Gaza Energy Sector Review," World Bank Publications - Reports 19226, The World Bank Group.
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