Israel to restart Leviathan gas field after ceasefire with Iran; exports to Egypt and Jordan to resume gradually amid regional recovery.
Israel's NewMed Energy announced on Wednesday that the Leviathan natural gas field—one of the country’s major offshore gas assets—will resume operations within hours, following a ceasefire agreement between Israel and Iran. The Leviathan field, operated by Chevron, had been offline since June 13 due to heightened regional tensions stemming from the Iran-Israel conflict. The Karish field, managed by Energean, was also shut down, leaving only the older Tamar field operational, which mainly serves Israel’s domestic energy needs.
Following a security assessment prompted by the ceasefire, Israel’s Energy Ministry confirmed that both the Leviathan and Karish gas fields will recommence operations. This move will enable the resumption of natural gas exports to Egypt and Jordan, bolster state revenues through increased tax intake, and offer improved flexibility for managing electricity production and industrial energy demands.
The Leviathan field, which currently produces 12 billion cubic meters (bcm) of gas annually, supplies natural gas to Israel, Egypt, and Jordan. Production is expected to increase to approximately 14 bcm by 2026. NewMed Energy, Chevron, and Ratio Energies are partners in the Leviathan project.
Media reports indicate that Egyptian imports of Israeli gas are expected to resume gradually, with full operational levels projected by Saturday. Before the shutdown, Israeli natural gas accounted for 15–20% of Egypt’s total consumption, according to the Joint Organisations Data Initiative. The recent supply disruption caused several Egyptian fertilizer manufacturers to halt their operations.
While Egypt sources a significant portion of its energy via liquefied natural gas (LNG), the country is currently operating only one of its three Floating Storage and Regasification Units (FSRUs). The Energos Eskimo FSRU is expected to come online shortly. Media reports suggest that it will be stationed at the Sumed terminal and connected to Egypt’s national gas grid. Once relocated, it may take between 11 and 23 days for the unit to be fully operational. However, the Ministry of Petroleum is exploring ways to accelerate the process to reduce the impact on domestic industries.
The restart of Leviathan and Karish is expected to significantly ease regional energy concerns and restore crucial gas flows to Egypt and Jordan. With the return of Israeli gas exports, Egypt’s industrial and power sectors anticipate a more stable supply environment, pending the full operational status of FSRU infrastructure.
