TORONTO – Israel’s Ministry of Energy and Water has extended drilling terms for two offshore licenses operated by Adira Energy.
The company has agreed to bring forward the submission date for an environmental study on the Gabriella concession to July 20, 2012.
In return, the government has put back the execution date for the Gabriella and Yitzhak license contracts by two months to Sept. 1, and allowed Adira to defer the spudding of the first wells on both permits to June 30 and Oct. 30, 2013.
Jeffrey E. Walter, Adira CEO, said: “The extensions on the licenses are a significant event, as it allows Adira additional time in order to secure funding to obtain the rigs required to drill the wells on Gabriella and Yitzhak.
“The imminent drilling deadlines have been placing a burden on Adira’s ability to raise capital in the current challenging global markets. With these extensions, the company has the ability to secure the financing required to provide the necessary financial commitments in order to drill within the extended timelines.”