DekelOil Public Limited (AIM:DKL) is in discussions with both the Board of Norpalm AS and certain Norpalm AS shareholders in relation to the potential acquisition of all or the majority of the shares in Norpalm by DekelOil. Norpalm AS holds 68.6% stake of Norpalm. The Potential Transaction, if it were to proceed, would be classified as a substantial transaction for the purposes of the AIM Rules for Companies.

Discussions are still ongoing and therefore there can be no guarantee that the Potential Transaction will proceed. The Directors intend that the Proposed Transaction would be financed from a combination of DekelOil's existing cash resources, new equity partners at project level and debt financing. Further announcements will be made in due course as appropriate.