Cemal ASLAN - Dogu Akdeniz Petrol & Gaz ve Enerji Panaroma

Politics VERSUS Industry.! The discoveries of offshore natural gas fields off Israel are an illusion: Leviethan Gas Field is still unproved, still a prospect. Leviathan Gas Field: But still looking at the prospect of spending $5-6 billion before the first gas comes. Israel-Turkey Gas Deal Unlikely, due to technical,commercial limitations. Israeli gas to Turkey commercially/financially not viable. Israeli gas is not competitive, can't compete in the Turkish market. Cost-effectiveness analysis is VITAL. Firstly,there are legal and legislative restrictions on Israel’s gas exports with about half of the gas stipulated for Israel’s domestic consumption. Secondly,the prospects of a pipeline linking Israel's Leviathan natural gas to Europe via Turkey are only pipe dream because the project's biggest obstacles are practical, geological, and echnological. Thirdly,It is difficult to connect Israel to Southern Gas Corridor. The practicalities and specifically, the infrastructure

While the Leviathan could have some positive regional impacts, talk of the Eastern Mediterranean becoming a major source of European energy is similarly overblown. The EU Commission selected the Eastern Mediterranean Pipeline as a “project of common interest,” warranting it further study. The pipeline would run from Cyprus to Crete and then to continental Europe. EU officials are attracted to the idea because it would allow Europe to slash its dependence on Russian gas, and with Greece’s economy mired in deep depression, the East Med Pipeline could be viewed as an economic development project for Southern Europe. However, there are several reasons this project won’t move beyond the dream phase. First, building a pipeline over such a vast distance, and through deep Mediterranean waters, would be prohibitively expensive. The pipeline from Cyprus to Crete alone could cost $20 billion. Second, the politics are dreadfully complicated. The longstanding division of Cyprus stands in the way