OREANDA-NEWS. Delek Group (TASE: DLEKG, US ADR: DGRLY) (“the Company”) announces that an immediate report has been published by Avner Oil Exploration Limited Partnership and Delek Drilling Limited Partnership ("the Partnerships"), as quoted below, concerning the early repayment of debentures issued by Delek Avner (Tamar Bond) Ltd.

Pursuant to what was stated in Annual Reports the Partnerships to December 31, 2015 that were published on March 28, 2016 ("Annual Report") concerning completion of the issue of debentures in an overall amount (100%) of USD 2 billion (at the issue date) for classified investors in the USA, Israel and other countries, which took place through a special purpose foreign subsidiary, Delek Avner (Tamar Bond) Ltd, which is held equally (50%-50%) by the Partnerships ("the Issuer"), issued in 5 different series, as detailed in the Annual Report ("Debentures") and in Note 1D to the financial statements included in the quarterly report to June 30, 2016 ("Quarterly Report") concerning the assessment of financing alternatives for the investments in the Partnerships' projects, it is announced as follows:

On September 6, 2016 the Issuer informed the debenture holders, by way of the trustee, of early repayment of the first series of Debentures, in accordance with its rights in the terms of the Debentures ("Notice of Early Repayment"). In accordance with the Notice of Early Repayment, the first series will be repaid on October 6, 2016 ("Early Repayment Date") in its (original) overall amount of USD 400 million (namely USD 200 million as the share of each of the Partnerships) ("the Principle"), instead of on the original repayment date of December 30, 2016. The amount of the early repayment includes the Principle, with the addition of accumulated interest of USD 3 million overall (USD 1.5 million as the share of each of the Partnerships) plus Early Repayment fees that will be calculated close to the Early Repayment Date and which are estimated at about USD 1.8 million (USD 0.9 million as the share of each of the Partnerships) ("Early Repayment Commission"). It should be noted that the amount of Early Repayment Commission is less than the balance of interest that the Issuer would have paid if the first series of Debentures had been repaid on the original date.

In parallel with the Early Repayment, the Partnerships are examining raising additional long-term debt to finance their activities.

About The Delek Group

The Delek Group, Israel's dominant integrated energy company, is the pioneering leader of the natural gas exploration and production activities that are transforming the Eastern Mediterranean's Levant Basin into one of the energy industry's most promising emerging regions. Having discovered Tamar and Leviathan, two of the world's largest natural gas finds since 2000, Delek and its partners are now developing a balanced, world-class portfolio of exploration, development and production assets with total gross natural gas resources discovered since 2009 of approximately 40 TCF.