Tamar Partners Sign Gas Supply Deal With Dor Alon

The partners in the Tamar gas field, Delek Drilling, Isramco Ltd., Noble Energy and Avner Oil and Gas have signed an agreement with Alon Gat Energy Centers of the Dor-Alon group for the purchase of 1.68 BCM of gas from Tamar over 15 years, for $400 million, Globes has reported.

Dor Alon owns 4% of the license through Dor Gas Exploration.

Dor Alon is buying the gas for its installations in the Kiryat Gat industrial zone, and a power plant, which are intended to supply the energy needs of Sugat's sugar refinery. The agreement gives Dor Alon the right to reduce the amount of gas purchased if it does not build the power plant, the newspaper said.

Supply of gas under the agreement is due to start in 2014, and to last for 15 years or until Dor Alon consumes the quantity of gas specified.