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Gas Supply to Israel is to be Resumed by February 17

Source: www.gulfoilandgas.com 2/8/2011, Location: Africa

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Ampal-American Israel Corporation, a holding company in the business of acquiring and managing interests in various businesses, announced today that it has been advised by East Mediterranean Gas Co. ("EMG"), in which Ampal has a 12.5% interest, that the Egyptian National Gas Company ("EGPC") informed EMG that the gas supply to EMG and therefore to EMG's Israeli clients is expected to resume by February 17, 2011.

On February 6, 2011 Ampal announced that due to an explosion and fire in a metering station along a gas pipeline from Egypt to Jordan which is owned and operated by GASCO, the Egyptian gas transport company, which is a subsidiary of EGAS, the supply of gas to EMG, and therefore to EMG's Israeli clients, has been interrupted. As announced GASCO's station is not a part of the EMG pipeline system and is located approximately 30 kilometers (some 18.6 miles) away from the EMG site.

Ampal has been advised by EMG that GASCO expects the supply of gas to be resumed by February 17th, once GASCO concludes the repair works on a small segment (some 200m long) of GASCO's pipeline leading to the EMG site, which was damaged by the heat generated by the explosion.

As previously announced, neither EMG's site nor EMG's pipeline were damaged.

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