Israel’s Oil Refineries Ltd., a maker of refined crude oil products, said Monday it has reached a joint venture agreement with Abu Dhabi’s Mazrui International to import polymers that are not produced in Israel and market them to Europe, the US and in Israel.
The memorandum of understanding (MOU) was signed last week in Abu Dhabi and attended by Oil Refineries’ CEO Moshe Kaplinsky and other officials at the firm, and the CEO of Marzui, Charbel Khoury.
The accord was made possible after Israel and the UAE signed the Abraham Accords in September, normalizing ties between the parties.
Ovadia Eli, chairman of Oil Refineries, said in a statement that the MOU is an “historic event” for the Israeli industry. “The peace accord is already bearing economic fruits for both peoples and a contribution to the Israeli economy.”
Mazrui, owned by Abdullah Mazrui, is a holding company in Abu Dhabi with operations in oil and gas, construction, logistics, retail and trading in the Middle East. Among its holdings are Sigma Engineering, one of the largest gas and oil project companies in the region; Emirates Insurance, an insurance company; and Carbon Holdings, the largest petrochemical company in Egypt.
Oil Refineries is the largest petrochemical conglomerate in Israel, with a refining capacity of 9.8 million tons of crude oil per year. It supplies a range of polymer-based products for industrial applications, private consumption, agriculture and infrastructure.
Shares of Oil Refineries, listed on the Tel Aviv Stock Exchange since February 2007, rose 5.3% on Monday.