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Energean shares jump as drilling starts on offshore Israeli wells

Energean Oil and Gas bounded on the stock exchange today as it started drilling in Israel.

The company said it was drilling three development wells, and will spud its Karish North well on schedule.

Read more: Energean shares put foot on the gas after Israeli supply deal

The four-well development sent shares up by around five per cent by the afternoon.

In January Energean said it had secured a $900m deal to supply gas to an Israeli provider from the Karish and Tanin fields which will start supplying the domestic market in 2021.

The firm said it would drill the top parts of the well in batches from its drillship Stena Drillmax.

Read more: Energean swings to profit on higher oil prices

In January Energean revealed it had increased revenues by 56 per cent, while the cost of production dropped 29 per cent.

“I look forward to continuing this positive momentum in 2019, which will include the drilling of at least six new wells across our acreage in Israel and Greece, targeting significant increases in reserves, resources and production,” chief executive Mathios Rigas said at the time.

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