Delek Group announces amended agreement signed with Paz Ashdod Refinery for the sale of natural gas

Wednesday, Feb 20, 2013

On February 18, 2013, an amendment was executed to the agreement for the supply of natural gas dated April 2, 2012 (the "Gas Agreement"), between Paz Ashdod Refinery Ltd (''Paz'') and Tamar Partners according to which several provisions of the agreement were amended following the requested changes required by Electricity Authority and Antitrust Authority. Paz is entitled to exercise an option to reduce the minimum annual amount it has committed to purchase or pay for it (Take or Pay), such that it will not exceed 50% of the average annual amount consumed during three years prior to exercising the option, subject to adjustment as determined in the Gas Agreement. The rest of the agreed amounts of the natural gas to be supplied that were determined in the Gas Agreement will be reduced accordingly. Paz will be entitled to exercise the abovementioned option, by a notice that will be given to Tamar partners during the period from the beginning of the fifth year of the supply of gas in commercial quantities or on January 1, 2018 (whichever is the latest), and will terminate at the end of the eighth year of the date of the commercial operation or on December 31, 2020 (whichever is the latest).

Source: Delek Group

To access over 3,000 of the latest oil projects from across the world visit Projects OGP for free trial today