Israel Corp. accepts Treasury's Dead Sea terms

ICL will pay NIS 3.04 billion for the rehabilitation of the Dead Sea, as well as all cost overruns on the project.

December 28, 2011 11:02
1 minute read.
Dead Sea

Dead Sea 311. (photo credit: (Marc Israel Sellem/The Jerusalem Post))


Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user uxperience almost completely free of ads
  • Access to our Premium Section and our monthly magazine to learn Hebrew, Ivrit
  • Content from the award-winning Jerusalem Repor
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later Don't show it again

Israel Corporation has accepted the Ministry of Finance's terms for the rehabilitation of the Dead Sea. Israel Corp. subsidiary Israel Chemicals Ltd. (ICL) will pay NIS 3.04 billion for the salt harvesting in the southern basin of the Dead Sea.

Israel Corp. chairman Amir Elstein and Finance Minister Yuval Steinitz signed the agreement Tuesday night on the financing of the salt harvesting and the higher royalties that will be paid to the state on Israel Chemicals' potash sales.

Be the first to know - Join our Facebook page.

Green group stages mock funeral for Dead Sea
Cabinet quashes plan to rehabilitate Dead Sea

Steinitz's deadline for Israel Corp. and Israel Chemicals to accept the Ministry of Finance's proposal on these issues expired last night. Under the proposal, Israel Chemicals will pay 90% of the cost of the salt harvesting and the government will pay 10%, and royalties on potash sales will double to 10% exceeding NIS 3 billion a year.

Israel Chemicals unit, ICL Fertilizers (formerly Dead Sea Works) will pay NIS 3.04 billion for the salt harvesting, and the government will pay NIS 760 million. NIS 337 million of the government's share is the current value of a NIS 30 million dividend withdrawn by the government in 1992 to finance protection of the Dead Sea. ICL Fertilizers will also carry out the Dead Sea rehabilitation work. If the project overruns its estimated NIS 3.8 billion cost, the company will bear the additional cost.

The agreement will now be sent to the cabinet and then to the boards of directors of Israel Chemicals and Israel Corp.

The government will not intervene in the planning of the salt harvesting project, except to "direct the planning parties to make every effort to expedite the work."

Related Content

The Teva Pharmaceutical Industries
April 30, 2015
Teva doubles down on Mylan, despite rejection