Israel: Signing of Investment Agreement for 60 MW CSP Plant

This is an English convenience translation of the original Hebrew version. In case of any discrepancy, the binding version is the Hebrew original.

Israel Corporation Ltd.

Registrar Number: 520028010

Securities of the Corporation are listed in the Tel Aviv Stock Exchange

Sort name: Israel Corporation

Address: P.O.B. 20456, Tel Aviv 61204

Tel: 03-6844517, 6844500, Fax: 03-6844587

Email: MAYAAK@ISRAELCORP.COM

Form 121 Public

Date of Transmission: 21/11/2012

Reference: 2012-01-285072

Immediate Report

The Event: Signing of an investment agreement regarding a project of establishing a thermo- solar power station.

Israel Corporation Ltd. (the "Company") hereby reports, according to information provided by IC green Ltd. (a fully owned company, which is the Company’s investment branch in renewable energies) ("ICG"), that on November 20, 2012, ICG has signed an agreement (the "Agreement") with Israel Solar Thermal Power Ltd. (the "Project Company") and with Two Sigma Holdings VC Acuistion Vehicle, LLC, an American company which is the investment branch of Two Sigma Private Investments, and which holds as of this date the shares of the Project Company, in respect of a possible investment in a project of establishing a thermo-solar power station with the capacity of 60 mega-watt in Kibbutz "Mashabie Sade" in the Negev (the "Project"). The total cost of the establishment of the Project, in the event that it will be executed, is estimated at approximately 260 million USD. As of the date of this report the Project is still at the development stage.

According to the Agreement, ICG committed to invest as sum of up to 1 million USD for the purpose of funding some of the Project’s initiation costs until the closing of the Project’s financing (and before investing the capital required at the closing of Project’s finance), while ICG is entitled to cancel the Agreement at any given time until the date of the financial closing.

It shall be noted that the closing of the transaction is subject to the satisfaction of certain conditions precedent including obtaining certain regulatory approvals and signing a term sheet with a construction contractor. It shall also be noted that the execution of the Project, including the capital investment by ICG is subject, inter alia, to the progress of the Project, the financial closing and to the obtainment of ICG and the Company’s authorized organs approvals.

The date when the event first became known to the corporation: 20/11/2012, time: 20:30.

Name of report authorized signatory and name of authorized electronic signatory: Maya Alcheh

Kaplan. Adv.

Position: Vice President, General Counsel and Company’s Secretary. Signature date: 21/11/2012

Reference of former documents in this regard (referring does not constitute incorporation by reference):

Former name of reporting entity: The Israel Corporation Ltd.

Form structure updated 11/09/2012

Name of Electronic Reporter: Maya Alcheh Kaplan. Position: Vice President, General
Counsel and Company’s Secretary. Aranha 23, Millennium Tower, Tel Aviv 61204. Phone
– 03-6844517, Fax: 03-6844587, e-mail -mayaak@israelcorp.com