Israel's state-owned electric company has approved a plan under which it will buy $1 billion of natural gas from a local consortium over the next five years, Delek Drilling Ltd. Partnership (DERD.L.TV), one of the members of the consortium, said Thursday.
Details haven't been worked out, but Israel Electric Corp. will purchase 5 billion cubic meters of natural gas from the Yam Tethys consortium, which consists of Delek Drilling, Avner Oil Exploration (AVNR.L.TV) and Noble Energy (NBL), Delek Drilling said.
This announcement follows a number of recent discoveries of natural gas under the Mediterranean Sea by Yam Tethys.
Israel Electric Corp. also receives natural gas from Egypt.
At 1130 GMT, shares of Delek Drilling were up 0.36 shekels, or 5.95%, at ILS6.39 ($1.59); and shares of Avner were up ILS0.89, or 7.76%, at ILS9.58 in a higher Tel Aviv market.