Israeli businessman Aaron Frenkel is increasing his holding in the Tamar gas field by buying an additional stake in Tamar Petroleum (TASE: TMRP). Frenkel is purchasing 20% of the company from institutional investors Harel Group (TASE: HARL), Migdal Insurance and Financial Holdings (TASE: MGDL) and Brosh Capital Partners for NIS 300 million.
The purchase is at a 30% premium on Tamar Petroleum’s closing price yesterday. Tamar holds 16.75% of the Tamar gas field and the purchase will bring Frenkel’s stake in the company to 25%, making him the main shareholder in the company together with Eli Azur (23.7%). Tamar Petroleum’s share price jumped 15% on Sunday, giving the company a market cap of NIS 1.3 billion. Over the past year the share price has risen 60%.
RELATED ARTICLES
Aaron Frenkel exercises option to buy Tamar stake
Aaron Frenkel buys Leumi shares for NIS 930m
Frenkel completes Bayside stake sale to Property & Building
The Tamar offshore field, 90 kilometers west of Haifa, provides natural gas and condensate. The field was discovered in 2009 and production began in 2013. Estimates are that the field has reserves of 11.1 trillion cubic feet of natural gas and 14.5 million barrels of condensate.
Last December, Frenkel exercise his option to buy 11% of the Tamar gas field from Abu Dhabi energy company Mubadalah Petroleum for $522 million, with most of the sum financed by banks in Israel and abroad, although Frenkel injected $160 million of his own capital into the deal.
In addition to Frenkel and Mubadalah with 11% each of the field, Chevron owns 25%, Isramco 28.75%, Tamar Petroleum 16.75%, Dor Gas Exploration 4% and Everest 3%.
“I strongly believe in energy stability”
Frenkel said, “I strongly believe in energy stability, and gas is a clean source of energy production for the medium term, until the plans for the use of alternative energy are realized and until other new sources and technologies for the production of clean energy are found. This resource should be properly utilized, and it has an important geopolitical impact in the region, positioning Israel as an energy power and as a stable and reliable gas supplier.”
Aaron Frenkel is one of the most prolific businessmen in Israel’s capital market in recent years. In 2020, Frankel took advantage of a sharp drop in the shares of income-producing real estate company Bay Side Land Corp. (TASE: BYSD) during the Covid pandemic to buy a 37.2% stake. He sold the stake to Property & Building Corp. (TASE: PTBL) for NIS 3.1 billion, recording a profit of NIS 1.25 billion.
Published by Globes, Israel business news – en.globes.co.il – on July 24, 2023.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2023.
Stay connected with us on social media platform for instant update click here to join our Twitter, & Facebook
We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.
For all the latest Business News Click Here
For the latest news and updates, follow us on Google News.
Denial of responsibility! NewsAzi is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.
