Emirati company to buy stake in Israeli gas field

JERUSALEM

Israeli company Delek Drilling signed a memorandum of understanding Monday for the sale of its stake in a natural gas field to Abu Dhabi’s Mubadala Petroleum.

The Israeli Broadcasting Corporation said the deal states the future sale of the Israeli company's 22% stake in the Tamar natural gas field offshore Israel in the Eastern Mediterranean for $1.1 billion.

The broadcasting authority quoted Israeli Energy Minister Yuval Steinitz as saying that "the memorandum of understanding to sell a share of the offshore Tamar natural gas field to Mubadala Petroleum indicates the success of implementing the gas plan, which aimed to break the monopoly in this field."

Last year, Israel and the United Arab Emirates signed an agreement to normalize relations between the two countries.

*Writing by Mahmoud Barakat