Delek Group Ltd. said April 11 it had struck a deal with Royal Dutch Shell Plc to acquire its stake in one of the largest deepwater fields in the U.S. Gulf of Mexico (GoM) as the Israeli independent E&P aims for global expansion.

Shell Offshore Inc., subsidiary of the Anglo-Dutch oil company Royal Dutch Shell, agreed to sell its 22.45% interest in the Caesar-Tonga oil field to Delek Group for $965 million. Delek said it plans to finance the acquisition using non-recourse loans from international banks against the asset, along with company funds.

The Ceasar-Tonga Field, which began production in 2012, is located 300 km south of Louisiana at a depth of 1,500 m. The field currently produces roughly a total gross of 71,000 barrels of oil equivalent per day with 90% of the output being oil.

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