ENI drops out of Ratio gas exploration consortium

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Ratio Energies LP (TASE: RATI) notified the Tel Aviv Stock Exchange last week that Italian company ENI East Med had withdrawn from the gas exploration partnership that won exploration rights in a tender in October 2023. The second partner, Dana Petroleum (East Med), will take upon itself the role of operator, although it is not yet clear what the distribution of holdings in the partnership will be. The two will apply together to the Ministry of Energy and Infrastructure to take up the license in the second quarter of 2026, in order to start exploring for gas.

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The fourth gas exploration tender began with very unfortunate timing: October 2023, at the outbreak of the Swords of Iron war, which essentially still continues. Two consortia won: one consisting of NewMed Energy (TASE: NWMD), Azerbaijan company SOCAR, and UK giant BP; the other consisting of Ratio, Dana Petroleum (now owned by the Korea National Oil Corporation), and Italian giant ENI, but whereas NewMed and its partners officially obtained their license and started exploration in March 2025, Ratio was left behind because of reservations on ENI’s part about the security situation.

The dispute has now ended with separation. Ratio informed the stock exchange on Friday that «in October 2025 ENI, which was due to act as operator for the licenses, gave notice to the petroleum commissioner in the Ministry of Energy and Infrastructure and to the other consortium members of its decision to withdraw from the consortium.»

Ratio has only now notified the stock exchange of the decision, apparently because it sought to reach agreement with Dana Petroleum that the latter will function as operator of the gas field, if one is discovered. Agreement on the division of holdings in the partnership between Ratio and Dana is liable to take time, as the attention of Korea National Oil Corporation’s management is currently focused on the closure of the Straits of Hormuz, via which most of Korea’s oil supplies are transported.

On the one hand, this is a blow to Ratio, which wanted to explore for gas with ENI and benefit from it as a major, experienced international operator. On the other hand, the uncertainty has been removed. The possibility of bringing in a third partner has not been ruled out.

Published by Globes, Israel business news — en.globes.co.il — on March 22, 2026.