Activists Urge Murphy Oil to Leave Israeli Gas Exploration Licenses

Murphy holds the Zone G licenses equally with Israel’s Ratio Energies and operates the project. The area covers about 1,700 square kilometers of seabed near the Leviathan gas field. Murphy and Ratio have 36 months to drill an exploration well.

Israel awarded the licenses in October 2023 to Eni, Ratio and Aberdeen-based Dana Petroleum, a subsidiary of state-run Korea National Oil Corporation. Eni withdrew earlier this year, citing a reallocation of investments. Israeli financial daily Globes reported that pressure from pro-Palestinian campaigners also made Eni reluctant to enter Israel.

Israel’s Energy Ministry announced Dana’s exit on Monday, according to South Korea’s Yonhap news agency. Dana had faced protests in Aberdeen and a complaint to South Korea’s Board of Audit and Inspection. The civic group behind the complaint said the board closed the case after finding that the licensing process had stopped and Dana planned to withdraw. Dana and KNOC have not commented. Israeli media have reported Dana could return with regulatory approval.

Campaigners in Scotland, South Korea and Italy described both companies’ departures as victories and urged investors, insurers and contractors to avoid the project. They say part of Zone G overlaps maritime boundaries Palestine declared in 2019, which Israel does not recognize. They also cite a July 2024 International Court of Justice advisory opinion that found Israel’s exploitation of natural resources in occupied territories unlawful. “Murphy Oil, which has now taken the place Dana and Eni abandoned, should expect exactly the same treatment,” said Dave Black of the Scottish Palestine Solidarity Campaign.

Murphy has not publicly responded to the campaign. On Wednesday, it announced four production-sharing contracts covering about 2.6 million acres offshore Cameroon. Ratio also owns 15% of Leviathan, which supplies Egypt under a $35 billion export contract.