Natural gas output from Israel is again poised to increase as Chevron Corp. and its partners plan to invest more in the Tamar field, raising prospects for additional Eastern Mediterranean volumes to reach the global market via Egyptian liquefaction facilities. 

Tamar’s production is set to go from 1.2  Bcf/d to nearly 1.6 Bcf/d now that Chevron has reached a final investment decision (FID) to expand Tamar’s production and export capacity by 2025.  

Last month, Israeli energy minister Eli Cohen said “dramatic growth” in gas exports to Egypt and Jordan are a strategic asset for Israel and the region. But how much Israeli gas Egypt designates for LNG exports depends on its domestic gas demand.

Chevron’s FID came after the Tamar partners signed a new gas sales agreement...