UAE energy firm secures 22-pct stake in Israeli offshore gas field: ministry

JERUSALEM — Mubadala Petroleum of the United Arab Emirates (UAE) has secured a 22-percent stake in the Tamar gas field off the northern coast of Israel, the Israeli Ministry of Energy said Thursday.

The stake was bought by the UAE company from the Israeli energy company Delek Drilling for 1.1 billion U.S. dollars, following a deal signed in April and now approved by the Israeli ministry.

It is the largest commercial agreement between Israel and the UAE since the two countries signed a normalization agreement in September last year.

“Mubadala Petroleum’s entry into the natural gas economy will contribute to strong activity and open the door to collaborations with companies that have previously refrained from operating in Israel for geopolitical reasons”, the Israeli ministry said.

Founded in 2012, Mubadala Petroleum, a subsidiary of Mubadala Investment Company owned by the government of Abu Dhabi, is a leading upstream oil and gas exploration and production company, focusing on the Middle East, North Africa, Russia and Southeast Asia.

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