Avner Oil - Annual Report 2011 - Delek Energy Systems

Amit licensePeriodSummary of the operations performedin the period / summary of the plannedwork planActual totalcost/estimated totalbudget for operationson the level of the oilasset (USDthousands) 87The Partnership'seffective share of thecost/budget (USDthousands)• Drilling at the Leviathan 3 well wassuspended a number of times due totechnical problems in the subseaequipment of the Pride North Americarig (the name of Pride North Americawas changed to Ensco 5006).Accordingly, the rig left the Leviathan 3drilling site and in October 2011, theTransocean Sedco Express rig arrivedto complete drilling.• On December 14, 2011, drilling at theLeviathan 3 well was completed, andnatural gas was discovered, as set outabove.• Assessment of alternatives fordevelopment of the Leviathan gas field7,1322012 upto June14, 2013• Continuation of interpretation ofseismic surveys• Abandonment of the Leviathan 2drilling according to the plan submittedby the operator• Assessment of alternatives fordevelopment of the Leviathan gas field• Submission of a summary report of thedrilling findings no later than threemonths after completion.• Submission of a report summarizingthe operations in the license area byJune 14, 2013For further information,see footnote 94 above.For further information,see footnote 94 above.operator also submits a monthly report to the Commissioner, describing the activities performed during the month toadvance the abandonment plan and the monitoring activities that were performed.Forward looking information: The estimated abandonment costs of the Leviathan 2 well are the initial estimates ofthe Partnership, based on the initial estimates received from the operator. Actual costs may differ from the estimatesabove and are subject, inter alia, to selection of the preferred option for the abandonment plan and its approval bythe Commissioner, receiving bids from and signing agreements with contractors to implement the abandonmentplan, changes in the supplier and raw material market, and the method for actual implementation of theabandonment plan.A-80