Katlan offshore gas field in the Mediterranean Sea is being developed by independent exploration and production (E&P) company Energean.
The gas field is located in Licence 12, offshore Israel, within the country’s Exclusive Economic Zone, in water depths of up to 1,800m.
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The Final Investment Decision (FID) on the project was taken in July 2024. It will involve an investment of approximately $1.2bn.
Katlan Field Development is slated to start production in the first half (H1) of 2027.
Discovery and Approval of Katlan Field
In 2018, Energean received License 12 under the 1st Offshore Bid Round to conduct oil and gas exploration off the coast of Israel.
In 2022, the company discovered gas in the block. A multi well drilling campaign helped in identifying a collection of structures located adjacent to Energean’s Karish and Tanin fields. The discovered area was originally referred as ‘Olympus Area’.
In May 2023, Israel’s Ministry of Energy and Infrastructure issued a certificate recognising Katlan as a natural gas discovery in License 12. It became the first gas discovery recognised by the ministry since 2015.
The government also approved a field development plan for the first phase in the same year.
The Petroleum Commissioner in the Ministry of Energy and Infrastructure granted a lease for the Katlan field group to Energean for a period of 30 years. The lease, which replaces License 12, can be extended for an additional 20 years.
The development will have a total (Probable + Proven) 2P reserves of 205.90 million barrels of oil equivalent (mmbls boe) of gas and liquids.
According to the company’s website, the Katlan field contains around 1.10 trillion cubic feet (TCF) of proven and probable (2P) gas reserves. Total 2P reserves for Katlan is 205.9 million barrels of oil equivalent (mmboe), including liquids.
Katlan Field Development Details
According to Energean, the Katlan Gas Field will be developed after the Karish and Karish North fields. The project will be developed in phases.
Phase 1a will include the development of Athena and Zeus discoveries, followed by the development of Hera and Apollo discoveries in Phase 1b.
The development is expected to include four production wells. The four-well slot will be connected to a single large 30km production line that will also accommodate future Katlan area phases.
The field will be tied back to the Energean Power Floating, Production, Storage, and Offloading (FPSO) vessel that is serving the Karish and Karish North fields.
The Energean Power FPSO topsides are expected to be upgraded with regard to MEG treatment, injection and storage.
The FPSO vessel can produce 8bcm/annually and 32kbopd following optimisation. Katlan field development is expected to extend the production plateau of the vessel.
Overall, the first phase (Athena, Zeus, Hera and Apollo) of Katlan contains 229mmboe, including 35bcm of gas. The wider area hosts an additional 223 mmboe (including 34 bcm of gas)
Initial gas production will be supplied to the clients under existing gas sales agreements. Eventually, the field may supply to international markets, subject to export permit by the Petroleum Commissioner.
Katlan Field Development Contracts
In July 2024, TechnipFMC secured the Engineering, Procurement, Construction, and Installation (iEPCI) contract for the Katlan Field Development Project.
The contract, valued between $500m and $1bn, includes the delivery of the production systems, pipe, umbilicals, and subsea structures.
According to TechnipFMC, this is Energean’s first project to use TechnipFMC’s configure-to-order Subsea 2.0 production systems.
Prior to the EPC contract, TechnipFMC was also engaged for the integrated Front-End Engineering and Design (iFEED) study of the field. The study was undertaken to optimise the commercial and technological solution for the field.
