Delek boosted by Tamar gas sales

Energy conglomerate Delek Group said on Thursday that third-quarter profit more than doubled, boosted by record sales at its main natural gas field.

Delek reported quarterly profit of NIS 323 million ($87m.), up from NIS 151m. a year earlier, which excluded the sale of part of its stake in the Tamar offshore gas field.

Last year subsidiary Delek Drilling recorded a one-time profit of $567m. from the sale of a 9.25% stake in the Tamar field, Israel's main natural gas source.

Including that one-off gain, Delek's profit in the third quarter of 2017 was NIS 1.02 billion.

Delek said it hopes to sell its remaining 22% stake in Tamar next year. It is looking to spin off the shares on a foreign market.

Revenue rose to NIS 2.3b. from 1.8b., lifted by higher sales at Tamar and improved prices and volumes at its North Sea unit Ithaca Energy.

Tamar's gas sales hit a new quarterly record of 2.8 billion cubic meters in the third quarter.

The company also has a large share in the nearby Leviathan gas field. It said the Leviathan project is 70% complete and remains on schedule for the first gas sales to begin by the end of 2019.

Delek and partner Noble Energy agreed in September to buy a stake in a subsea pipeline that will facilitate a $15b. gas supply deal with Egypt's Dolphinus Holdings.

Delek said it would pay a dividend of NIS 150m., or 12.5 shekels a share, bringing 2018's total dividend distribution to NIS 490m. (Reuters)