The following report is by Israel's most prominent economic consulting firm BDO, and the Israeli Natural Gas Trade Association, and is the most comprehensive in-depth research on the Israeli natural gas market.

BDO Israel is part of the global BDO global network of accounting and consulting firms, and is the leading Israeli consulting firm for energy and infrastructure consulting, forecasting and research services for Israel and the region. The Israeli Natural Gas Trade Association is the Israeli industry professional institute that brings together the leading companies in Israel.

Over the past decade, the natural gas industry has been a significant growth engine for the Israeli economy and led to its resilience in the face of a worldwide energy crisis. The report presents the contribution of implementing natural gas in the Israeli economy from a multi-angle perspective: economic, environmental, energy security, and more. See below for some of the key conclusions, and download the full report.

Israel: A Regional Natural Gas Superpower

The report states that Israel is the OECD leader in saving gas for the future: the domestic production pace (reserves annual production) constitutes only approximately half of the production rate among the largest producers in the OECD.

Israel also ranks third among OECD countries in natural gas reserves per capita with twice as much as Canada and nearly three times as much as the United States. According to a 2015 report by the Ministry of Energy, there's potential for discovering an additional 2,100 BCM of natural gas in Israel's economic waters double the current reserves.

Increase In National Gas Reserves

Even though gas production has increased five-fold in the last decade compared to the previous decade, Israel's total natural gas reserves have increased. While in 2012 the economy had at its disposal some 780 billion cubic meters (BCM) of natural gas, in 2022 that volume stands at 1 087 billion cubic meters (BCM), following additional natural gas discoveries made in Israel's economic waters and updated assessments regarding the size of the reservoirs It represents a 40% increase in the volume of natural gas in Israel when there was a surge in gas production. Furthermore, there is a potential for new reserve discoveries.

The Contribution of Natural Gas to the Environment

Over the past decade, natural gas contributed to a 32% reduction in the intensity of carbon dioxide emissions from electricity production (the volume of emissions from electricity unit production), saving a pollution cost of about NIS 23.9 billion. Regarding local air pollution, the intensity of NOx emissions has decreased by about 76% over the past decade. The intensity of SO2 emissions has decreased by about 85% over the past decade. In total, there was a reduction in the cost of pollution worth nearly NIS 190 billion. Thanks to the transition to natural gas, Israel is one of the leading OECD countries in reducing the emissions of greenhouse gasses per capita.

In the Energy Council’s 2023 annual survey, the East Med was highlighted as a key E&P hotspot in the next 12 months – a view which is backed up by the reports findings. Energy Council partners including bp and ADNOC are highlighted in the report in reference to their proposed acquisition of 50% of NewMed Energy as are Mubadala, Chevron and Energean.

At this years’ World Energy Capital Assembly we shall be aligning with industry leaders as to engage in high impact discussions around where natural gas will come from and how it can help counter the energy trilemma and play a key role in the transition. Click below to find out more.