Israel Natural Gas Lines Ltd. (INGL)

Israel Natural Gas Lines Ltd. (“INGL”) is a government owned corporation, established in 2003 for the purpose of constructing and operating the national natural gas transmission infrastructure, and holds a 30 year license for this purpose. The establishment of the national natural gas transmission infrastructure constitutes a project of great significance for Israel both for its impact on Israel’s economy and industry, and its contribution to improvement of environmental quality and reduction of air pollution. INGL adheres to stringent international standards in its construction and operations, with a wide range of international and local professional suppliers, contractors and consultants. INGL currently has ~170 employees.

Significant Savings for the Economy and Cleaner Air

The natural gas that INGL transports is one of the lowest cost energy sources available to the Israeli economy, and its use significantly reduces the costs of energy for electricity generation and industry. From its establishment to the present, the company has invested over NIS 9.6 billion in the system’s construction, saving the Israeli economy billions of NIS per year. Energy produced from natural gas is cleaner than other fuels such as diesel oil, fuel oil and coal, emitting fewer pollutants and greenhouse gases during combustion.

Natural Gas System Throughout Israel

The INGL network includes:
Underground pipelines for transporting high pressure natural gas across the length and the breadth of Israel. Currently, a receiving station is operating in Ashdod, and during 2019, construction of an additional receiving station near Dor Beach was completed. Which has been active since December 2019 • A marine buoy for receiving natural gas from LNG carriers, located about ten kilometers west of the Hadera coast. • An underground pipeline for transporting natural gas; To date, INGL has laid more than 900 km of high pressure pipelines throughout the country, including: The Offshore Section, in operation since May 2006; the Central Section, in operation since May 2007; the Southern Section, in operation since November 2009; the Northern Section, in operation since April 2011; Dovrat-Ziporit Section, in operation since January 2015; Palmahim Section, in operation since February 2016; A southern export line to Jordan, in operation since January 2017; Eastern pipeline, in operation since May 17; the Jerusalem Pipeline in operation since April 2021; and an export pipeline to northern Jordan (active since December 2019) • PRMS stations to reduce pressure and meter gas deliveries, located at consumer and distribution company delivery points • Block valve stations throughout the system • Facilities for operations and security, to monitor and control the network • Maintenance and logistics centers at several locations nationwide.
In addition, the natural gas transmission includes several important facilities, including: • Stations in Ashdod and Dor for receiving natural gas from offshore suppliers in Israel’s maritime territory • A deep water LNG receiving terminal and mooring system located approximately 10 kilometers west of Hadera’s coast to receive natural gas from floating storage and regasification vessels

INGL Customers

More than 70% of Israel’s electricity is generated using natural gas, which INGL delivers to 7 large power stations owned by IEC, and to independent power producers such as Dorad, Dalia, OPC (Rotem and Hadera), Edeltech (Ramat Negev Energy, Ashdod Energy), Orot Yosef, Rapac (Sorek, Ashkelon, Alon Tavor, Ramat Gavriel), IPM Beer Tuvia, Alon Energy Centers, and MRC power station. In addition, INGL delivers natural gas to large industrial plants in Israel, including in the Haifa Bay area, Hadera, Ramat Hovav, Mishor Rotem, and other locations throughout the country (Industrial customers include ORL, Haifa Chemicals, Adama-Makhteshim, Adama-Agan, Dead Sea Works, Mashab, Tnuva, Nilit etc.). The number of users continues to grow by the connection to natural gas, new private power plants, new industrial clients and significant export to Jordan and Egypt. INGL Develops the Natural Gas Economy
Following the discovery of significant volumes of natural gas resources off the coast of Israel, the natural gas sector has grown rapidly to meet the continuously increasing demand for electricity generation. INGL continues to develop the natural gas sector, increasing the capacity, reliability and efficiency of the national transmission system, to ensure a regular supply of gas to its customers. The company is working on the construction of additional gas facilities for significant additional volumes.

Converting Coal-Based Units to Natural Gas

According to the Ministry of Energy’s plan to weaning Israel of polluting fuels, the project for converting the coal based units into natural gas units was launched. According to the plan, the project will include the conversion, by the year 2026, of ~2250 MW of coal based power generation in the Rutenberg power station in Ashkelon and ~1150 MW in the Orot Rabin power station in Hadera. In 2022 INGL completed the connection for the first converted unit and in 2024 the connection of the second unit was completed. In addition, the company completed the natural gas connection for the combined-cycle gas turbines 70 and 80 in Orot Rabin (about 1,260 MW) which would replace coal units 1-4. During 2025, the company completed the construction for the connection of converted units 3 and 4 in Ashkelon and it is in the stages of construction and execution of units 5 and 6 in Hadera. The schedule for completing the connection of all converted units is 2026.

Exporting Natural Gas

The company promotes the export of natural gas as an important growth engine and as a strategic aim for Israel’ while strengthening the company’s significant contribution to geopolitical ties and increasing state revenues. In 2017-19, INGL completed the construction of two export pipelines to Jordan, in the Dead Sea region for Jordanian industrial plants and in the Bet Shean region connecting the Israeli transmission system to the Jordanian transmission system. In January 2020, INGL started to transmit natural gas to the EMG pipe near Ashkelon for the purpose of exporting natural gas to Egypt. In January 2021, the company signed a long-term agreement with Nobel Energy (now Chevron) to establish an offshore pipeline from Ashdod to Ashkelon and increase the natural gas export to Egypt via the EMG pipeline. The completion of the pipeline was delayed due to the “Iron Swords” war and is expected to be completed in early 2026. In February 2022 INGL started to export additional gas quantities to Egypt from the Tamar and Levitan reservoirs through the existing connection to Jordan in the north. Further, INGL is promoting an onshore line to Egypt - between Ramat Hovav and Nitzana (66 km) in order to increase the quantities of gas exports to Egypt. As part of the construction of this line, INGL will build and operate a compression station in Ramat Hovav. Completion of the project is expected in 36 months from the date of signing the transmission agreements with exporters.

Gas Distribution License in the Jerusalem Area:

On 10.9.25, subject to receiving a distribution license from the Ministry of Energy and in addition to the existing transmission license, the company is expected to take responsibility for the distribution of natural gas to consumers, industrial plants and commercial customers in the Jerusalem District, which includes the cities of Jerusalem and Beit Shemesh and five local councils.

Establishing facilities from an ecological perspective and according to the principles of sustainable development

The company operates within the framework of principles it has established regarding the protection of the environment, conducting research on the area by professional bodies and in collaboration with green organizations, early inspection for antiquities, defining access routes while taking into account the environmental flora and fauna, stabilizing streambeds, restoration and cultivation after construction, and more. In July 2025, the company was rated in the “Ma’ale” ESG rating with a “Platinum + AA” rating. The score reflects the company’s achievements and excellence in the areas of corporate and ethical responsibility, social responsibility, while implementing the principles of diversity and inclusion, and environmental contribution.

Bonds Issuance and Credit Rating

On May 30th, 2018, INGL published a prospectus for listing bonds (Series D) for trading by the public and was listed on the primary list of the TASE from June 7th, 2018. INGL is ranked ilAAA/negative by Ma’alot S&P. The company’s bonds are ranked ilAAA by Ma’alot, and Aaa.il (stable) by Midroog.