Livingston Oil Company of Tulsa, Okla., announced here yesterday that an agreement with Petrocana, Ltd. of Israel for participation in off-shore drilling for oil had been terminated. No reason for the termination was given although a company spokesman said that apparently the agreed-time period ended before something was worked out for the joint oil hunting.
Israeli sources said that the agreement collapsed because of differences between officials of Petrocana which has leases on more than 500, 000 acres of offshore land in the Mediterranean, and Livingston. Petrocana reportedly wanted the American firm to start drilling operations immediately but Livingston felt it needed more on-shore research before beginning the costly drilling.
Petrocana, which promised the Israel Government it would start drilling soon and had its leases extended several times, indicated that it would meet a July 1 deadline with new partners, it was reported here. Petrocana chairman Gordon Hirshhorn was reported as saying “we will have our first well spudded by mid-summer.” However, the Israel Government was reported to be taking a hard look at the matter.
Wayne Swearingen, who succeeded Julius Livingston as president, said Livingston wanted to “stay in the picture, with or without Petrocana, either off-shore or on-shore.” He indicated Livingston hoped to negotiate with the Israel Government.
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
