JERUSALEM, April 26 (Xinhua) -- Israeli energy company Delek Drilling on Monday announced the signing of a 1.1-billion-U.S.-dollar agreement with Mubadala Petroleum of the United Arab Emirates (UAE), for the sale of Delek's 22 percent stake in the Tamar gas field offshore Israel.

If finalized, the transaction will be the largest commercial agreement following the normalization agreement between Israel and the UAE, signed at the White House on Sept. 15, 2020.

Under the Gas Framework, outlined by the Israeli government, Delek Drilling is obliged to sell all its holdings in Tamar by the end of 2021, as part of the effort to increase competition in the natural gas industry.

Tamar field, discovered in 2009 deep in the Mediterranean Sea, about 90 kilometers west of the northern city of Haifa, is one of Israel's two main gas fields.

According to Delek, the reserves in the Tamar lease, after production of over 77 BCM (billion cubic meters), is nearly 300 BCM of natural gas.

Israel's revenues from Tamar's royalties since it started operation in 2013 has reached 1.75 billion dollars.

The gas from Tamar is transmitted into the Israeli market through Israel's national gas pipeline with a proportion being exported on to Jordan and Egypt.

Besides Delek, there are five more partners in Tamar, including U.S. giant Chevron, which holds 25 percent of the field and operates it.

Founded in 2012, Mubadala Petroleum is a leading upstream oil and gas exploration and production company, focusing on the Middle East, North Africa, Russia and Southeast Asia, with assets in 10 countries.

It is a subsidiary of Mubadala Investment Company, which is owned by the government of Abu Dhabi. Enditem

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