Delek to sell diesel to Israel Corp's OPC

Delek Group Ltd. (TASE: DLEKG) unit Delek Israel Fuel Corporation Ltd. (TASE: DLKIS) will sell diesel to Israel Corporation (TASE: ILCO) unit OPC Rotem Ltd. for the operation of its 440-megawatt power station. Delek Israel will sell OPC NIS 200-300 million of diesel until the start of natural gas deliveries to the power station at Mishor Rotem.

The contract is valid through the end of 2013, and OPC has an option to extend it through the end of March 2014.

Delek Group units Avner Oil and Gas LP (TASE: AVNR.L) and Delek Drilling LP (TASE: DEDR.L) are due to supply natural gas to OPC from the Tamar gas field as part of a $4 billion gas purchasing contract signed with Israel Corp. in November 2012.

Israel Corp. wholly-owned subsidiary IC Power Ltd. owns 80% of OPC and Dalkia Israel Ltd. owns 20%.

Published by Globes [online], Israel business news - www.globes-online.com - on January 14, 2013

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