The new deals, both with Israeli utilities, represent combined gas volumes of up to 1.4 bcm/yr and increase total firm contracted sales from Karish to around 7 bcm/yr.
Estimated revenues are more than $2.5 billion over the life of the contracts, with no further capital investment required beyond the Karish North subsea tieback to the FPSO Energean Power (a final investment decision is due later this year).
Most of the newly contracted volumes will go to the Ramat Hovav Power Plant Limited Partnership between the Edeltech Group and Shikun & Binui.
The GSPA runs for up to 20 years, with the annual contract quantity set to reduce after the first seven years following first gas from Karish.
Remaining volumes will be allocated to the second new GSPA, signed with an affiliate of the RH Partnership for the supply of gas over a period of up to 15 years to existing power stations.
Energean is assessing other opportunities in Israel and elsewhere to fill the remaining 1 bcm/yr of spare capacity in the 8 bcm/yr FPSO.