July 2, 2008

Oil Refineries to Buy into Mercury Aviation Israel

Israel-based Oil Refineries has signed an agreement for the purchase of 31.25% of Mercury Aviation Israel which engages in aviation refueling services at the Ben Gurion Airport in Tel Aviv. The shares have been purchased from a third party for NIS2.7 million.

Mercury Israel has a franchise agreement with the Israeli Airport Authority for plane refueling services at the Ben Gurion Airport until December 2012.

Mercury Israel's activity accounts for about 50% of the aviation refueling activity at the Ben Gurion Airport. The largest shareholder in Mercury Israel is the US-based plane refueling company Mercury Air Group, which holds a 37.5% stake.

Yashar Mordechai, CEO of Oil Refineries, said: "We continue to look for routes that will lead to the broadening of our activities and accelerating our growth over the coming years. This is the first entry of Oil Refineries into infrastructure activities, outside the company's facilities. Our partnership with the Mercury Air Group will serve as an additional route for us to broaden our activities outside of Israel, and to further advance the strategic goal of the company of broadening activities into areas that are in parallel to our core business."