Construction of the Leviathan project is 67% complete, with anticipated first gas sales on schedule by the end of 2019.

Construction of the Leviathan project is 67 percent complete, with anticipated first gas sales on schedule by the end of 2019, Noble Energy has revealed in its latest third quarter (3Q) results statement.

During 3Q, Noble finalized the installation of subsea trees at the site and progressed fabrication of the deck and jacket. The company also completed two of four production wells and conducted flow tests, which it says “confirmed deliverability of more than 300 million cubic feet of natural gas equivalent per day, per well”.

Noble’s capital expenditures in Israel were $172 million in 3Q, primarily for the development of the Leviathan project.

The Leviathan field is located in the Eastern Mediterranean. According to Noble Energy’s website, it is a 22 trillion cubic feet find that will double the company’s gross operating capacity by the end of the decade.

Third Quarter Results

Noble reported 3Q net income attributable to the company of $227 million, or $0.47 per diluted share. Adjusted EBITDAX was $766 million and operating cash flow was $697 million, representing increases of 23 percent and 29 percent, respectively, from 3Q 2017. 

The company received $358 million in asset sale proceeds and delivered sales volumes of 345,000 barrels of oil equivalent per day during the quarter. 

“We achieved a number of key operational and strategic objectives in the third quarter, reflecting our team’s continued hard work and execution,” David L. Stover, Noble Energy’s chairman, president and CEO, said in a company statement.

“Strong volumes across all business units, cost management, and improved price realizations delivered our highest quarterly operating cash flow in the last four years. During the quarter, we accelerated the return of capital to shareholders, allocating $157 million to share repurchases and dividends,” he added.

“With a deep inventory of high-return projects across our global portfolio and disciplined capital allocation, we are poised to deliver differentiated shareholder returns,” Stover continued.

Noble is an independent exploration and production company which traces its roots back to 1932. In addition to the Eastern Mediterranean, the company has interests onshore the United States and offshore West Africa.

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