EAPC - ERUROPE ASIA PIPELINE CO

ABOUT THE COMPANY

THE existence of a narrow land bridge between the Red Sea and the Mediterranean Sea, led to a decision in the middle of the last century to lay a pipeline through southern Israel, and combined with storage terminals, to serve the transit of crude oil from oil producing sources in theArabian Gulf to customers in Europe. The Eilat Ashkelon Pipeline Co. Ltd. (EAPC) was established in 1968 as the successor to companies that had moved oil over the same land bridge in the 1950's and 1960's. After expiration of Eilat Ashkelon Pipeline Company Ltd.’s concession, the pipeline and port operations were transferred to Europe Asia Pipeline Company Ltd. The company operates two oil ports and two oil terminals with a storage capacity of 3.6 million cubic meters for crude oil and petroleum products.

A LAND BRIDGE FROMTHE RED SEATO THE

MEDITERRANEAN AND VICE VERSA

750KM – 466 Miles OF OIL PIPELINES FOR CRUDE OIL TRANSIT 3.6 MILLION CUBIC METERS OF STORAGE CAPACITY FOR CRUDE OIL AND OIL PRODUCTS

ABOUT THE COMPANY

The company operated successfully in times of dynamic changes in the domestic and global oil markets, and in times of political upheaval. After the expiry of a concession which had been given to the company to build and operate the oil facilities, the activity was transferred to a new company established for this purpose, Europe Asia Pipeline Company Ltd. (“EAPC”). In addition to pipeline transit of crude oil, the company’s services include long-term storage and blending of crude oil according to specific customer requirements. In addition to its traditional business of crude oil transport and storage services offered to Israeli and international customers, EAPC today provides infrastructure services in areas such as LPG, oil products and coal. EAPC also operates a delivering terminal for natural gas from Israeli and foreign sources.

ABOUT THE COMPANY

Due to the lackof storagecapacity in theMediterranean basin, and with a view to contributing to Israel’s energy security, the company expanded petroleum product storage capacity and is taking steps to increase its crude oil storage capacity at its storage terminals in Ashkelon and Eilat. As one of the leading companies in the Israeli energy sector, EAPC is at the forefront of activity and development of future infrastructures. In this manner, the company maintains its capabilities and edge in providing domestic and international customers with solutions for receiving from offshore operations and storage of energy products. EAPC ascribes supreme importance to safety, environment and corporate social responsibility, and has an efficient management and control system in place to this end. It is also EAPC policy to adopt the most stringent international standards on-land and sea. EAPC’s highly experienced and professional employees drive the company’s development, offering customer service of the highest standard in day-to- day operations. EAPC’s experienced management team and skilled employees enable it, alongside ongoing activities, to spearhead progress and develop the company while maintaining top-notch customer service.

OUR VISION

EAPC is an energy infrastructures company providing storage and transport service as well as port services for energy products for domestic and foreign customers, by means of a diverse and flexible array of infrastructures, based on many years of experience and its international reputation. EAPC constitutes the "energy gate" to Israel and will continue to provide domestic and global customerswithhighqualityservice, according to time schedules and on a scale required to safeguard Israel's energy security. EAPC seeks to be a regional and international crude oil, oil products hub and to constitute a significant link in the energy product distribution chain, and as a land bridge between Europe and Asia. EAPC will continue to expand and diversify its business and to maximize the potential of the company's infrastructure and its existing capabilities.

OUR VISION

WITH EVERY STEP IT TAKES, EAPC ACTS IN ACCORDANCE WITH ITS VALUES, INCLUDING:

Maintaining high standards of occupational safety and utilization of the best available technologies. SAFETY AND THE ENVIRONMENT

Providing high-quality and fair service to the customer's satisfaction, while aspiring to excellence, showing initiative, setting a personal example, and committed to reliability and integrity. EXCELLENCE, QUALITY SERVICE AND SETTING A PERSONAL EXAMPLE

OUR VISION

BEING COMMITTED TO THE COMPANY'S EMPLOYEES AND CONTRACTORS Equal and fair treatment and stringent adherence to workers rights, as well as to human dignity. The company has and will continue to support and help the community and increase awareness of and engagement with the environment, and foster relations with the community in which it operates, while maintaining an ongoing dialogue with regulatory authorities as a confidence building measure to preserve and enhance its image as a company that takes its environmental and social corporate responsibility seriously. COMMUNITY, ENVIRONMENT AND REGULATORY AUTHORITIES

THE CRUDE OIL SYSTEM - PIPELINES

The crude oil pipeline system of EAPC consists of three pipelines. The largest of them is a 42" diameter pipeline 254 km long linking the Eilat oil port on the Red Sea coast with the Ashkelon oil port on the Mediterranean coast. Two additional pipelines supply the refineries in Haifa and Ashdod, respectively.

254 KM – 158 Miles EILAT – ASHKELON BIDIRECTIONAL

197 KM – 122 Miles ASHKELON – HAIFA

EAPCoperates three separate pipelines for crude oil and one for oil products. 1. A 42'' , 254-km long crude oil pipeline linking the Red Sea port of Eilat with the Mediterranean port of Ashkelon. Three booster stations pump the crude oil at a maximum capacity of 60 million tons per annum. Two additional booster stations pump the crude oil in the opposite direction, namely from the Mediterranean to the Red Sea, at a maximum capacity of 30 million tons per annum. 2. A 16''/18'' , 197-km long crude oil pipeline connecting Ashkelon with the Haifa refinery. Three pumping stations along the line enable an annual throughput capacity of 5.8 million tons.

THE CRUDE OIL SYSTEM - PIPELINES

3. A 18''/16'' , 36-km long crude oil pipeline connecting Ashkelon with the Ashdod refinery, with a maximum throughput capacity of 7 million tons per annum. . A 16'' , 260-km long oil products pipeline connecting Ashkelon with Eilat. The pipeline serves to transport oil products (gasoline, jet fuel and gasoil) from the Mediterranean to the Red Sea and vice versa. 3 4

36 KM – 22 Miles ASHKELON – ASHDOD

260 KM – 161 Miles ASHKELON - EILAT OIL PRODUCTS

PIPELINES MAP

PIPELINES MAP

COAL JETTY

197Km - 122 Miles 16"/18"

36Km - 22 Miles 16"/18"

REGIONAL MAP LEGENG

Termimal Pumpimg Station Refinery

260Km - 161 Miles 16"

City

CRUDE

254Km - 158 Miles 42"

Eilat

Ashkelon

PRODUCTS LINE (Bidirectional) Ashkelon Haifa Ashkelon Ashdod

Givati

Eilat

SPM (crude oil) Multibuoy (oil product)

750 Km PIPELINES 3.6M cubic meters for crude oil and oil products

MED RED MED

FIGURES

To enhance the activity of the Eilat Ashkelon pipeline, the company created a new transit capability; thepumpingof crude oil from the Mediterranean Oil Port of Ashkelon, through the 42" pipeline to Eilat on the Red Sea.This activity complements the original south-to-north pumping direction, making the systemunique in its bidirectional feature. The ability to pump crude oil in both directions has also enabled EAPC to nearly double its operational storage capacity.

600,000

BBLS / DAY THROUGHPUT CAPACITY

254Km 42" EILAT – ASHKELON BIDIRECTIONAL

Storage Capacity AT BOTH ENDS ENABLES SMALL CARGOES TO BE COMBINED IN ASHKELON AND REDELIVERED ON BOARD VLCCS IN EILAT

MED RED MED

The long route around Africa and the limitations of the Suez Canal (related to the size of tankers), boost the competitive advantage of the Reverse Flow Project. Crude oil produced in Russia and the Central Asian Republics and loaded at Black Sea ports, may now be marketed at competitive prices in Southern Asia and the Far East. EAPC’s range of facilities offers the possibility of collecting several cargoes of 600,000 barrels or 1,000,000 barrels at the company’s storage terminals, and then redelivering larger cargoes in Eilat. This flexible system along with other transportation and handling alternatives can produce solutions tailored to the customers’ needs.

MED RED MED

A land bridge frome the Red Sea to the Mediterranean Sea &Vice versa

MED RED MED

A land bridge frome the Arabian Sea to the Mediterranean Sea & Black Sea

OIL PORTS AND TERMINALS

EILAT OIL PORT AND TERMINAL EAPC operates a crude oil jetty at the Eilat Oil Port. The jetty accommodates tankers of up to 350,000DWTwith awater depth of 30 meters alongside the jetty. The maximum discharge rate at this jetty is 20,000 cubic meters per hour. The maximum loading rate is 10,000 cubic meters per hour. SEASHORE SITE This site receivesoil fromtankers calling at the port of Eilat, with an overall storage capacity of 160,000 cubic meters. From this site, the crude oil is pumped into the main tankfarm at Ramat Yotam. RAMAT YOTAM TANKFARM This site consists of 16 storage tanks with a total storage capacity of 1.1 million cubic meters

350,000 DWT CRUDE OIL JETTY AT THE EILAT OIL PORT

1.3M CUBIC METERS FOR CRUDE OIL STORAGE

NOMINATION LAYTIME & DEMURRAGE AT EAPC’S OIL PORTS

EILAT OIL PORT REGULATIONS AND INFORMATION

OIL PORTS AND TERMINALS

ASHKELON OIL PORT The Ashkelon open sea oil port is located south of the city of Ashkelon. The following discharging and loading facilities operate at the port: Berth no.1 for oil products (multibuoy) Berth no. 2 for oil products and fuel oil (multibuoy) LPG berth (multibuoy) Two SPM (Single-Point Mooring) berths, no. 3 and no. 4, for crude oil A coal jetty

250,000 DWT 2 SPM BERTHS FOR CRUDE OIL 130,000 DWT 2 MULTI-BUOY BERTHS FOR OIL PRODUCTS 1.9M CUBIC METERS FOR CRUDE OIL STORAGE

The SPM berths for crude oil are located 3.2-3.5 km offshore at a water depth of 31 meters and have a loading and discharging capacity of 7,500 cubic meters per hour. These berths accommodate tankers of up to 250,000 DWT. This Mediterranean Sea terminal consists of 24 storage tanks for crude oil with a storage capacity of 1.9 million cubic meters and 10 storage tanks for oil products with storage capacity of 0.4 million cubic meters. The terminal is fed both by tankers discharging at the Ashkelon oil port and by the 42'' line from Ramat Yotam. From the terminal, the oil is either pumped to the refineries or loaded onto outbound tankers.

NOMINATION LAYTIME & DEMURRAGE AT EAPC’S OIL PORTS

ASHKELON OIL PORT REGULATIONS AND INFORMATION

OIL PRODUCTS

EAPC has a 410,000 cubic meters oil products storage capacity (gasoline, jet fuel and gasoil) at the Ashkelon terminal.

Berths no. 1 and 2 are used to load and unload oil products (gasoline, jet fuel and gasoil). The Berths accommodate tankers of up to 130,000 DWT and up to 100,000 DWT respectively. The oil products storage system consists of 10 dedicated storage tanks and is connected to berths no. 1 and 2 for loading and unloading. The system is also connected to EAPC’s filling station for tanker lorries and to PEI’s tankfarm. Amodern computerized system controls the channeling of different oil products unloaded at these berths. The oil products are transferred to the adjacent Petroleum & Energy Infrastructure Company Ltd. (PEI) tankfarm, where they are pumped into the national oil products network. This system is also connected to EAPC’s filling station for tanker lorries. This station serves as a complementary link in the imported oil products distribution chain to the local market. To accommodate customers’ needs, a doping system for additives was constructed.

LIQUEFIED PETROLIUM GAS

An LPG tankfarm with a capacity of 16,000 cubic meter (about 7,900 tons) in mounded tanks and a berth for handling LPG tankers of up to 7,000 DWT, operate at the Ashkelon terminal. The tankfarm, which was built and operates in compliance with the world’s most stringent safety standards, allows for the quick and efficient loading of tanker lorries

7,900 tons LPG TANKFARM STORAGE CAPACITY

7,000 DWT

DEDICATED BERTH FOR HANDLING LPG CARRIERS

Discharging of ocean-going tankers can be carried out simultaneously with the loading of tanker lorries. EAPC operates a modern filling plant for LPG cylinders. The plant serves the local LPG marketing companies which distribute the cylinders to Israeli consumers.

COAL JETTY

A coal jetty operates in the Ashkelon port. This jetty serves the Rutenberg power station of the Israel Electric Co. (IEC).EAPC provides all marine services (pilotage, mooring, etc.) for this jetty. Coal carriers of up to 200,000 DWT are unloaded at this jetty, by means of two cranes at a rate of 1,800 tons per hour each.

200,000 DWT FOR COAL VESSELS ATASHKELON OIL PORT

3,600 Tons COAL PER HOUR DISCHARGED AT THE JETTY

GATEWAY FOR NATURAL GAS

EAPC’s Ashkelon site was chosen to be one of the gateways for the natural gas which Israel purchases from offshore reservoirs. EAPC operates and maintains the natural gas receiving station at Ashkelon. From the start of 2020, the facility is also used for export of natural gas from Israel to Egypt. Thenatural gas receivingstation is connected to the Israel Natural Gas Lines Company’s system. The entry junction of natural gas in Ashkelon, along with the discovery of significant gas reservoirs opposite the shores of Israel, led the company to explore further possibilities for using natural gas for other industrial purposes.

CONTACT US Europe Asia Pipeline Company Ltd. POB 801 Ashkelon 7810702 Tel: +972.8.6740642 Fax: +972.8.6740632 E-mail: commerce@eapc.co.il