TEL AVIV, Israel, June 3, 2010 /PRNewswire/ -- Delek Group (TASE: DLEKG, OTCQX; DGRLY hereinafter the Company) reported that its subsidiaries Delek Energy Ltd., Delek Drilling L.P. and Avner Oil Gas Exploration L.P. published the following immediate report;

Following the meeting of the partners of the various projects (according to the subject) that took place 2nd June 2010 and the media reports Delek Drilling L.P. and Avner Oil Gas Exploration L.P. (Partnership) are pleased to announce as follows:

Preliminary results from processing and interpretation of the three dimensional seismic survey:

The Partnership is pleased to announce that on 6th February 2010 Noble Energy Mediterranean Ltd. (Hereinafter: Noble), operator of the partnerships, during the meeting presented the preliminary findings from the processing and interpretation of the three dimensional seismic survey (3D), carried out on licenses Amit, Rachel and parts of the Hannah, David and Eran Licenses (hereinafter: Ratio Yam) and the licenses Alon A and Alon B.

Noble initially focused on initial processing and interpretation of the seismic data covering the Leviathan prospect found in tertiary layers of sand (corresponding to the reservoir sands identified in Tamar (the tertiary sands)) contained in the licenses Rachel and Amit. Noble estimates, on the basis of the above information, that the gross mean recoverable resource of natural gas in the prospect is about 16 TCF (about 453 BCM), and that the probability of Geologic Success is 50% . In light of the above, Noble intends soon to recommend to the partners the drilling of an exploration well on the Leviathan prospect, which will begin in the last quarter of 2010. It should be noted that Noble has not yet finalized a drilling program for the well and therefore has not yet submitted final plans or a budget to the partners for this well. Drilling of the well will be subject to the approval of the Partners.

Additionally, Noble said that following the initial processing and interpretation of this seismic data, it identified additional tertiary prospects on the Ratio Yam licenses (the other Ratio Prospects) with an unrisked estimated gross mean resource of approximately 3 TCF (approximately 85 BCM). This estimation does not calculate the geological probability of finding hydrocarbons within these prospects.

In addition, Noble said to the Partnership that on the basis of the 2D and/or 3D seismic data, they have identified additional tertiary prospects in other licenses, in which the Partnership owns rights and operates in a joint venture together with Noble, and including in the area of Block 12 in Cyprus (Additional Prospects). Noble estimates that the unrisked gross mean resource potential of the Leviathan prospect, the Other Ratio Prospects and the Additional Prospects amounts to more than 30 TCF (about 850 BCM). This estimate does not calculate the geological probability of finding hydrocarbons within these prospects.

It should be noted that the Other Ratio Prospects and the Additional Prospects identified are in initial stages of formation, and the final geological probability of discovering hydrocarbons has still not been formulated within these prospects.

Furthermore, Noble noted that it began to examine the potential existence of additional layers of pre-Miocene age (significantly deeper than the tertiary sand layers) in the Partnership's Licenses (including the Tamar and Dalit areas), which may have further potential for oil and gas. These examinations have not yet crystallized into specific prospects.

Warning with regard to forward-looking information - The estimates cited above is information, as provided - by Nobel, including the future average economic potential of the natural gas reserves in the prospect, and the geological probability of finding hydrocarbons, are forward-looking statements within the meaning of the Securities Act. The partnership has no an independent examination of the information or the estimates above and cannot vouch for its accuracy. It should be emphasized that in accordance with the best knowledge of the partnership, the values provided by Noble is based on a broad model of the prospect, which is based on a large number of data variables and assumptions include estimates of workload, of which some are subjective and speculative (data not proven and based on partial information and various assumptions), and the model is very sensitive to the above variables, and which may change materially and therefore change the estimates. There is no certainty about these above-mentioned estimates which may be updated as new information is accumulated, as a result of the complex factors associated with exploration and production projects of natural gas and oil.

Follow-up evaluation of natural gas reserves in the Tamar

Following on from our immediate report dated August 8, 2009 (Previous Report), we are pleased to announce that Noble Energy Mediterranean Ltd.. (Hereinafter: Noble) the Tamar operator, has announced that it has received a report from Netherland, Sewell and Associates, Inc. (Hereinafter: NSAI) concerning the natural gas reserves in Tamar. The update was based on the results received in the analysis of the cores extracted from the Tamar 2 well. NSAI is a leading independent engineering consulting firm that provides third party estimates of oil and natural gas reserves.

According to the NSAI report, the Tamar natural gas reserves, which will be categorized as 2P Reserves (Proved + Probable)subject to the approval of the Tamar field development plan (which will also include a reasonable expectation to sell natural gas produced from the field) are estimated at 8.7-TCF (about 247 BCM), compared with about 7.7 TCF (about 218 BCM), reported in our Previous Report (an increase of about 13%). The 1P gas reserves (Proved Reserves), total about 6.5 TCF (about 184 BCM), compared with about 6 TCF (about 170 BCM) reported in our Previous Report (an increase of about 8%).

NSAI also provided a report estimating the Gross Mean Resources in Tamar to be 8.4 TCF (about 238 BCM), compared with about 7.3 TCF (about 207 BCM) reported in our Previous Report (an increase of about 15%).

Tamar field holding percentages are as follows:

Noble Mediterranean: 36.00% Israemco Negev 2, limited partnership: 28.75% Delek Drilling, limited partnership: 15.625% Avner Oil Exploration, Limited Partnership: 15.625% Dor Gas exploration, limited partnership: 4.00%

Warning with regard to forward-looking statements. The data presented above including NSAI estimates of the volume of the well's natural gas reserves, as well as estimates of the natural gas reserves at Tamar, constitute Forward Looking Statements as defined under the Israel Securities' Law. These estimates are based on geological, geophysical and other estimates received from the Drill Operator and serve, at this time, only as estimates whereby there is no certainty as of yet with regards to them. The Partnership has not conducted its own estimates or independent evaluations of these said estimates. These estimates are expected to be updated as additional information is accumulated, including as a result of the continued analysis of the well proceeds, the conduction of production tests and the conduction of validation drilling, should they be conducted, and/or as a result of a variety of factors related to projects searching for, and producing, natural gas.

Natural gas reserves update at Mari-B field

Following the immediate report dated March 4, 2010, Noble announced to the partnership that on the basis of production data analysis, including data on production and reservoir pressure history at Mari-B, it estimates that natural gas reserves in Mary-B may increase by 50-100 BCF (about 1.4 - 2.8 BCM) which assessment is under review at NSAI.

Warning with regard to forward-looking statements - The data presented above, regarding the natural gas reserves in the Mary-B are all based on geological geophysical and other information, and are received from the drilling field at Mary B and Nobel, the project operator, which at this stage has provided its professional assessments, for which there is still no certainty, and is considered forward-looking information within the meaning of the Securities Law. The partnership has no independent evaluation or testing of the data, and is received as stated. These estimates may be updated as information accumulated and / or as a result of complex factors associated with exploration and production projects of oil and gas, including a result of continued production data analysis in the near future.

THIS IS A SUMMARY OF THE HEBREW ANNOUNCEMENT ISSUED TO THE TEL AVIV STOCK EXCHANGE ON JUNE 03, 2010. FOR FULL DETAILS PLEASE SEE http://WWW.TASE.CO.IL

About The Delek Group

Delek Group is the leading energy infrastructure group based out of Israel with investments in upstream downstream energy, water desalination and power plants globally. In addition, Delek is the number one importer distributor of vehicles in Israel and owns insurance assets in Israel and the US. Earlier this year, Delek Group, through its subsidiaries, discovered significant quantities of high quality natural gas off the coast of Israel. Delek Group sales reached over 43 billion Israeli shekel in 2009.

Contact Dalia Black VP of Investor Relations Delek Group Tel: +972-9-863-8444 Email: black_d@delek.co.il Ehud Helft / Kenny Green International Investor Relations GK Investor Relations Tel: (US) +1-646-201-9246 E-mail: ehud@gkir.com / kenny@gkir.com

SOURCE: Delek Group Ltd

CONTACT: Contact: Dalia Black, VP of Investor Relations, Delek Group, Tel:+972-9-863-8444, Email: black_d@delek.co.il . Ehud Helft / Kenny Green,International Investor Relations, GK Investor Relations, Tel: (US)+1-646-201-9246, E-mail: ehud@gkir.com / kenny@gkir.com .