US Energy Giant Engages in Talks for Gas and Oil Exploration in Israel

The American energy giant is currently in negotiations to begin gas and oil exploration activities in Israel, according to statements from Israeli Energy Minister Eli Cohen. Cohen emphasized that increasing competition and supply is the best way to reduce energy prices. He noted that Israel’s additional gas potential is estimated at 400 billion cubic meters.

Cohen highlighted regulatory interventions made to ensure natural gas availability through long-term and spot contracts at attractive prices, despite reluctance to intervene. He also addressed electricity prices, stating that Israel’s rates are about 20% lower than the European average, with current prices at 15 cents per kilowatt-hour compared to 20 cents in Europe. He forecasted a further 3% price drop by the end of the year, aided by a strengthened shekel and a price cap of $4.70 per energy unit from power plants.

The minister praised the Ministry of Energy’s efforts to reduce living costs, including opening the electricity market to competition and reforming water corporations. Regarding regional energy security, Cohen dismissed the threat posed by the Strait of Hormuz and Bab al-Mandab, noting advanced planning for alternative oil and gas infrastructure that positions Israel as a strategic bridge between Gulf policies and Europe.

On the government’s refusal to accept a Supreme Court ruling, Cohen affirmed his belief in the rule of law, stating that neither the government nor the courts are above the law. He also commented on the Basic Law regarding Torah study, stressing the importance of balancing this value with the need to draft yeshiva students into the military. Cohen shared personal insights about his family’s military service and expressed support for legislation prioritizing reservists.