Israel: Finance secured for Palmachim desalination expansion

Financing for the expansion of Israel's Palmachim desalination plant from its current capacity of 30 million m³/year up to 45 million m³/y and ultimately even to 100 million m³/y was closed on 16 August 2009 by the Derech Yam Company.

Bank Hapoalim will look after the bank financing for the US$ 20 million project, as it did for the original construction of the plant by the Via Maris Desalination partnership.

The facility, on the Mediterranean coast between Tel Aviv and Ashdod, has been supplying water to the national water system since May 2007.

The plant is privately owned owned by Granite Hacarmel, Tahal Group, Middle East Tube Co, Ocif, and Oceana. Its initial 15 million m³/year expansion is expected to take one year.