Delek Drilling Looks to Refinance $2 Billion in Debt

Ari Rabinovitch
Monday, June 29, 2020

Israel's Delek Drilling wants to refinance about $2 billion in loans it had taken to develop the major Leviathan natural gas field either by issuing bonds or through bank finance.

The company said in a statement on Monday it approached international credit rating agencies regarding a possible bond issuance of about $2.5 billion, which will be backed by "Leviathan project assets". It said it received an indicative rating of "BB", which is similar to a rating of "AA" in Israel.

Delek Drilling, a subsidiary of energy conglomerate Delek Group, has total financial debt of $3.4 billion. It is a partner in two of Israel's largest offshore natural gas fields, Tamar and Leviathan.

The company on Sunday reported first quarter net profit of $84.3 million, up 110% from a year earlier. Revenue jumped 97% to $186.7 for the period, boosted by the start of production at Leviathan, which supplies Israel, Jordan and Egypt. 

(Reporting by Ari Rabinovitch; Editing by Tova Cohen)

Categories: Energy Middle East Industry News Activity Mediterranean

Related Stories

Noble Secures Work in Ghana and Gulf of Mexico for Its Drillship Pair

Norway Awards Two CO2 Storage Permits in North Sea

Mandatory Turbine Upgrade Mandate Upsets Wind Industry

Current News

France Picks Ocean Winds for 250MW Floating Wind Farm in Mediterranean

Vestas Lands First 15MW Offshore Wind Turbine Order in Asia Pacific

EDF, Maple Power to Develop 250MW Floating Wind Farm in France

Shell Shuts Down Oil Processing Unit in Singapore Due to Suspected Leak

Subscribe for OE Digital E‑News