Israel’s Tamar gas field off the Mediterranean coast will help with exports too. Image Credit: AP

Dubai: Abu Dhabi wealth fund Mubadala will pay about $1 billion for a 22 per cent stake in the Tamar gas field in Israel – and the biggest deal struck between UAE and Israeli entities since the Abraham Accords of last year.

The Israeli energy conglomerate Delek Drilling operates the Tamar field in the east Mediterranean, which can produce up to 11 billion cubic metres of gas a year. Delek Drilling also has the ‘Leviathan’, one of the largest deepwater finds of recent times.

The Mubadala Petroleum-Delek deal was initiated in April last but required government approvals. The Tamar field can produce 11 billion cubic metres of gas a year. Mubadala Petroleum said the acquisition will complement its "gas-biased portfolio strategy in line with its energy transition goals".