IEC is expected to purchase about 2.7 trillion cubic feet (Tcf) of natural gas as fuel to provide electricity to the state of Israel and also has an option to expand the agreement quantity to about 3.5 Tcf.
Noble expects for the 15-year period will generate total revenue of $18bn if IEC does not exercise its option and $23bn if the option is exercised.
The agreement is subject to final government approval, which is expected.
Tamar is on schedule to begin commissioning late this year with initial gas deliveries expected in April 2013.
Noble operates Tamar with a 36% working interest and other owners include Isramco Negev 2 with 28.75% stake, Delek Drilling with 15.625%, Avner Oil Exploration with 15.625%, and Dor Gas Exploration with the remaining four percent.
The Tamar partners have sales agreements for natural gas quantities between 3.9 and 4.7 Tcf with six different customers, resulting in estimated total revenues between $27bn and $32bn over a 15 to 17 year period.
