Energean says Phase 1A of its deepwater Katlan gas-condensate development offshore Israel remains on track for first gas in the first half of 2027, with key offshore infrastructure installed, production wells completed and FPSO modifications progressing.

The Katlan development represents the next phase of Energean's Eastern Mediterranean growth strategy, extending use of the Energean Power FPSO while helping bring additional gas resources to regional markets through infrastructure already established offshore Israel.

The project will tie back to the Energean Power FPSO, which currently processes production from the Karish Field and serves as the hub for Energean's offshore Israel developments.

Offshore installation program advances

In Energean’s half-year 2026 results statement, the company reported that the first two of four offshore installation campaigns had been completed, including installation of the ~30-km production pipeline system, the ~25-km Monoethylene Glycol (MEG) flowline, and the production riser.

Athena and Zeus wells completed

Drilling and completion activities recently concluded for the project’s Athena and Zeus production wells.

All main in-line subsea infrastructure is also now in place, with the remaining subsea infrastructure due to be completed around the end of 2026.

FPSO modifications progress

The Inlet Heaters Module (M01) and associated E-House (M09), both safely lifted onto the Energean Power, are among the topsides modifications required for the development.

Integration and commissioning of the modules continue: remaining FPSO upgrade work, covering, installation of the MEG Reclamation Unit (M04) and Fired Heaters Module (M06) will likely occur in 2027. Neither are needed to achieve first gas.

Energean prepares Katlan Phase 1B

Energean has also advanced planning for Katlan Phase 1B, which will develop the Hera and Apollo fields on the offshore Katlan lease.

A rig contract signed earlier this year with Stena Drilling includes the Hera and Apollo development wells and the Karish North-02 development well on the Karish and Karish North lease.

In addition, Energean has awarded TechnipFMC UK the Phase 1B subsea installation scope under a Letter of Award.

Beyond Katlan, Energean also provided updates on development, exploration and decommissioning activities across its broader Mediterranean and North Sea portfolio.

Croatia and Greece projects move forward

Offshore Croatia, the company’s operated Irena development should also deliver first gas in first-half 2027. Fabrication of the new ~10-km sales pipeline has finished, with offshore installation set to begin later this month.

Jacket construction and topside assembly for the associated new offshore platform are progressing in Italy, with offshore installation anticipated in October.

The Labin jackup rig will drill the Irena-3 development well from the new platform, probably toward the end of the year. The rig should then mobilize to drill the Izabela-9 exploration well, targeting about 25 Bcf of near-field prospective gas resources.

Energean’s contract with Stena Drilling additionally covers an exploration well on Block 2 offshore western Greece on a ~9.5-Tcf gas target. Drilling now looks likely to start next spring.

In the UK southern North Sea, the Garrow and Kilmar gas platform topsides and jackets were removed and lifted onto Petrodec's OBANA jackup vessel as part of Energean's operated UK decommissioning program.

In total, 3,373 metric tons of structures were transferred, with removal of the Wenlock platform scheduled to take place next month.