Energy and infrastructure group Delek said it hopes to acquire an 85% stake in a company that plans to build a $280m natural gas power plant in southern Israel.

The power plant, to be located at Kiryat Gat, will have an installed capacity of 240MW. The contract has yet to be finalised.

The firm has stakes in companies that form a part of a consortium that has found large quantities of natural gas off Israel’s northern coast.

Delek Group currently has investment in the energy, power, automotive and insurance sectors.