Document:

10-K

Exhibit 10o  

Nonqualified Stock Option- 2000 Plan

STOCK OPTION
CERTIFICATE 

For _______Shares 

Issued Pursuant to the 

2000 Incentive Plan of 

AMPAL-AMERICAN ISRAEL
CORPORATION 

Name of Holder: 

Number of Shares

Subject to this Option:

	 Exercise Price:            

Issuance Date:

Expiration Date:           

Vesting Terms:             

                           

                           

                           
	$____ per Share

Ten years from date of grant

Option to purchase ______ Shares shall vest and become exercisable, on a
quarterly basis, on the ___ day of the month of each three month period
following the Issuance Date for each of the four years following the Issuance
Date.

        THIS
CERTIFIES that on Issuance Date set forth above, the Holder identified above was granted
an option (the “Option”) to purchase at the Exercise Price all or any part of
the number of shares of fully paid and non-assessable shares (“Shares”) of the
Class A Stock ($1.00 par value) of AMPAL-AMERICAN ISRAEL CORPORATION, a New York
corporation (the “Company”)set forth above, upon and subject to the following
terms and conditions: 

         (a)       
          Terms of the Plan. The Option is granted pursuant to, and is subject to
          the terms and conditions of, the 2000 Incentive Plan of the Company (the
          “Plan”), the terms, conditions and definitions of which are hereby
          incorporated herein as though set forth at length, and the receipt of a copy of
          which the Holder hereby acknowledges by his signature below. Capitalized terms
          used herein shall have the meanings set forth in the Plan, unless otherwise
          defined herein. 

         (b)       
          Expiration. This Option shall expire on the Expiration Date set forth
          above unless extended or earlier terminated in accordance with this
          Option Certificate or the Plan. 

         (c)       
          Exercise. This Option may be exercised or surrendered during the
          Holder’s lifetime only by the Holder or his/her guardian or legal
          representative. THIS OPTION SHALL NOT BE TRANSFERABLE BY THE HOLDER OTHERWISE
          THAN BY WILL OR BY THE LAWS OF DESCENT AND DISTRIBUTION, SUBJECT TO THE TERMS
          AND CONDITIONS OF THE PLAN. 

        This
Option shall vest and be exercisable as set forth in the Vesting Terms above. 

        This Option
shall be exercised by the Holder (or by her executors, administrators, guardian or legal
representative) as to all or part of the Shares, by the giving of written notice of
exercise to the Company, in which event the Company shall issue to the Holder the number
of Shares determined as follows (subject to reduction for any Withholding Taxes as
provided in Section J hereof): 

	 	
X
= Y [(A-B)/A] 

	 	
where:

	 	
X
= the number of Shares to be issued to the Holder. 

	 	
Y
= the number of Shares with respect to which this Option is being exercised.

	 	
A
= the Fair Market Value of the Shares into which such Option is exercisable, determined
at the date of tender,

	 	
B
= the Exercise Price. 

        The
notice of exercise shall be delivered to the Company at its principal business office or
such other office as the Committee may from time to time direct, and shall be in such
form, containing such further provisions consistent with the provisions of the Plan, as
the Committee may from time to time prescribe. In no event may any Option granted
hereunder be exercised for a fraction of a Share. The Company shall effect the transfer of
Shares purchased pursuant to an Option as soon as practicable, and, within a reasonable
time thereafter, such transfer shall be evidenced on the books of the Company. No person
exercising an Option shall have any of the rights of a holder of Shares subject to an
Option until certificates for such Shares shall have been issued following the exercise of
such Option. No adjustment shall be made for cash dividends or other rights for which the
record date is prior to the date of such issuance. 

         (d)       
          Termination of Employment. In the event of the termination of employment
          of the Holder for any reason (other than death, disability or for reasons other
          than for cause as provided below), this Option, to the extent not previously
          exercised or expired, shall be deemed canceled and terminated on the day of such
          termination or separation. 

        In
the event of the termination of the Holder’s employment other than for cause, (i) the
Option and all rights granted hereunder shall be forfeited and deemed canceled and no
longer exercisable on the day that is seven (7) days after the date of such termination of
employment, and (ii) with respect to the portion of the Option that had not vested at the
time of termination of Holder’s employment, the Option and all rights granted
hereunder shall be forfeited and deemed canceled and no longer exercisable. For the
purposes of this Stock Option Certificate, the term “cause” shall be defined as
(i) any act of fraud or embezzlement in respect of the Company or any of their
respective funds, properties or assets, (ii) conviction of the Holder of a felony under
the laws of the United States or any state thereof; (iii) willful misconduct or gross
negligence by the Holder in connection with the performance of his or her duties to the
Company; (iv) intentional dishonesty by the Holder in the performance of his or her duties
to the Company; and (v) engagement by the Holder in the use of illegal substances or
alcohol, which use has impaired the Holder’s ability, as determined by the Board of
Directors of the Company, on an ongoing basis, to perform his or her duties to the
Company. A determination of cause shall be made by the Board of Directors of the Company. 

2

         (e)       
          Death. In the event the Holder dies while employed by the Company or any
          of its subsidiaries or affiliates, or during his term as a Director of the
          Company or any of its subsidiaries or affiliates, as the case may be, this
          Option, to the extent not previously expired or exercised, shall, to the extent
          exercisable on the date of death, be exercisable by the estate of the Holder or
          by any person who acquired this Option by bequest or inheritance, at any time
          within one year after the death of the Holder, unless earlier terminated
          pursuant to its terms, provided, however, that if the term of this Option
          would expire by its terms within one year after the Holder’s death, the
          term of this Option shall be extended until one year after the Holder’s
          death. 

         (f)       
          Disability. In the event of the termination of employment of the Holder
          or the separation from service of a Director who is a Holder due to total
          disability, the Holder, or her guardian or legal representative, shall have the
          unqualified right to exercise any portion of this Option which has not been
          previously exercised or expired and which the Holder was eligible to exercise as
          of the first date of total disability (as determined by the Company), at any
          time within ninety (90) days after such termination or separation, unless
          earlier terminated pursuant to its terms, provided, however, that if the
          term of such Option would expire by its terms within ninety (90) days after such
          termination or separation, the term of such Option shall be extended until
          ninety (90) days after such termination or separation. The term “total
          disability” shall, for purposes of this Option Certificate, be defined in
          the same manner as such term is defined in Section 22(e)(3) of the Internal
          Revenue Code of 1986, as amended. 

         (g)       
          Change in Control. In the event of the occurrence of a change in control
          (as defined below) of the Company, this Option and all rights granted hereunder
          shall immediately vest and be exercisable in accordance with its terms with
          respect to those Shares not already vested and exercisable pursuant to the terms
          of this Option. For purposes of this Option, a “change in control of the
          Company” shall be deemed to occur if: 

          		    (i)       
               there shall have occurred a change in control of a nature that would be required
               to be reported in response to Item 6(e) of Schedule 14A of Regulation 14A
               promulgated under the Securities Exchange Act of 1934, as amended (the
               “Exchange Act”), as in effect on the date hereof, whether or not the
               Company is then subject to such reporting requirement, provided,
               however, that there shall not be deemed to be a “change in
               control” of the Company if immediately prior to the occurrence of what
               would otherwise be a “change in control” of the Company (a) the
               Executive is the other party to the transaction (a “Control Event”)
               that would otherwise result in a “change in control” of the Company or
               (b) the Executive is an executive officer, trustee, director or more than 5%
               equity holder of the other party to the Control Event or of any entity, directly
               or indirectly, controlling such other party, 

               

          		    (ii)       
               the Company merges or consolidates with, or sells all or substantially all of
               its assets to, another company (each, a “Transaction”),
               provided, however, that a Transaction shall not be deemed to
               result in a “change in control” of the Company if (a) immediately
               prior thereto the circumstances in (i)(a) or (i)(b) above exist, or (b) (1) the
               shareholders of the Company, immediately before such Transaction own, directly
               or indirectly, immediately following such Transaction in excess of fifty percent
               (50%) of the combined voting power of the outstanding voting securities of the
               corporation or other entity resulting from such Transaction (the “Surviving
               Corporation”) in substantially the same proportion as their ownership of
               the voting securities of the Company immediately before such Transaction and (2)
               the individuals who were members of the Company’s Board of Directors
               immediately prior to the execution of the agreement providing for such
               Transaction constitute at least a majority of the members of the board of
               directors or the board of trustees, as the case may be, of the Surviving
               Corporation, or of a corporation or other entity beneficially directly or
               indirectly owning a majority of the outstanding voting securities of the
               Surviving Corporation, or 

               

3

          		    (iii)       
               the Company acquires assets of another company or a subsidiary of the Company
               merges or consolidates with another company (each, an “Other
               Transaction”) and (a) the shareholders of the Company, immediately before
               such Other Transaction own, directly or indirectly, immediately following such
               Other Transaction 50% or less of the combined voting power of the outstanding
               voting securities of the corporation or other entity resulting from such Other
               Transaction (the “Other Surviving Corporation”) in substantially the
               same proportion as their ownership of the voting securities of the Company
               immediately before such Other Transaction or (b) the individuals who were
               members of the Company’s Board of Directors immediately prior to the
               execution of the agreement providing for such Other Transaction constitute less
               than a majority of the members of the board of directors or the board of
               trustees, as the case may be, of the Other Surviving Corporation, or of a
               corporation or other entity beneficially directly or indirectly owning a
               majority of the outstanding voting securities of the Other Surviving
               Corporation, provided, however, that an Other Transaction shall
               not be deemed to result in a “change in control” of the Company if
               immediately prior thereto the circumstances in (i)(a) or (i)(b) above exist. 

               

         (h)       
          Adjustments. In the event that the Company shall determine that any
          dividend or other distribution (whether in the form of cash, shares of common
          stock of the Company, other securities, or other property), recapitalization,
          stock split, reverse stock split, reorganization, merger, consolidation,
          split-up, spin-off, combination, repurchase, or exchange of shares of common
          stock of the Company or other securities, the issuance of warrants or other
          rights to purchase shares of common stock of the Company, or other securities,
          or other similar corporate transaction or event affects the Shares, such that an
          adjustment is determined by the Company to be appropriate in order to prevent
          dilution or enlargement of the benefits or potential benefits intended to be
          made available to the Holder, then the Company shall, in such manner as the
          Company may deem equitable, adjust any or all of (i) the number and type of
          shares of common stock of the Company subject to this Option, and (ii) the grant
          or exercise price with respect to this Option, or, if deemed appropriate, make
          provision for a cash payment to the Holder. 

         (i)       
          Delivery of Share Certificates. Within a reasonable time after the
          exercise of this Option, the Company shall cause to be delivered to the person
          entitled thereto a certificate for the Shares purchased pursuant to the exercise
          of this Option. If this Option shall have been exercised with respect to less
          than all of the Shares subject to this Option, the Company shall also cause to
          be delivered to the person entitled thereto a new Option Certificate in
          replacement of this Option Certificate if surrendered at the time of the
          exercise of this Option, indicating the number of Shares with respect to which
          this Option remains available for exercise, or this Option Certificate shall be
          endorsed to give effect to the partial exercise of this Option. 

         (j)       
          Withholding. In the event that the Holder elects to exercise this Option
          or any part thereof, and if the Company or any subsidiary or affiliate of the
          Company shall be required to withhold any amounts (the “Withholding
          Taxes”) by reason of any federal, state or local or foreign tax laws, rules
          or regulations in respect of the issuance of Shares to the Holder pursuant to
          the Option or the exercise or disposition (in whole or in part) of the Option or
          the underlying Shares, the Company or such subsidiary or affiliate shall be
          entitled to deduct and withhold such amounts from any payments to be made to the
          Holder. In any event, the Holder shall make available to the Company or such
          subsidiary or affiliate, promptly when requested by the Company or such
          subsidiary or affiliate, sufficient funds to meet the requirements of such
          withholding; and the Company or such subsidiary or affiliate shall be entitled
          to take and authorize such steps as it may deem advisable in order to have such
          funds available to the Company or such subsidiary or affiliate out of any funds
          or property due or to become due to the Holder. 

4

         (k)       
          Reservation of Shares. The Company hereby agrees that at all times there
          shall be reserved for issuance and/or delivery upon exercise of this Option such
          number of Shares as shall be required for issuance or delivery upon exercise
          hereof. 

         (l)       
          Rights of Holder. Nothing contained herein shall be construed to confer
          upon the Holder any right to be continued in the employ of the Company and/or
          any subsidiary or affiliate of the Company or derogate from any right of the
          Company and/or any subsidiary or affiliate of the Company to retire, request the
          resignation of, or discharge the Holder at any time, with or without cause. The
          Holder shall not, by virtue hereof, be entitled to any rights of a shareholder
          in the Company, either at law or in equity, and the rights of the Holder are
          limited to those expressed herein and are not enforceable against the Company
          except to the extent set forth herein. 

         (m)       
          Registration; Legend. The Company may postpone the issuance and delivery
          of Shares upon any exercise of this Option until (a) the admission of such
          Shares to listing on any stock exchange or exchanges on which Shares of the
          Company of the same class are then listed and (b) the completion of such
          registration or other qualification of such Shares under any state or federal
          law, rule or regulation as the Company shall determine to be necessary or
          advisable. The Holder shall make such representations and furnish such
          information as may, in the opinion of counsel for the Company, be appropriate to
          permit the Company, in light of the then existence or non-existence with respect
          to such Shares of an effective Registration Statement under the Securities Act
          of 1933, as amended, to issue the Shares in compliance with the provisions of
          that or any comparable act. 

        The
Company may cause the following or a similar legend to be set forth on each certificate
representing Shares or any other security issued or issuable upon exercise of this Option
unless counsel for the Company is of the opinion as to any such certificate that such
legend is unnecessary: 

	 	
THE
SECURITIES REPRESENTED BY THIS CERTIFICATE MAY NOT BE OFFERED FOR SALE, SOLD OR OTHERWISE
TRANSFERRED EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES
ACT OF 1933, AS AMENDED (THE “ACT”), OR PURSUANT TO AN EXEMPTION FROM
REGISTRATION UNDER THE ACT, THE AVAILABILITY OF WHICH IS ESTABLISHED BY AN OPINION FROM
COUNSEL TO THE COMPANY.  

         (n)       
          Amendment. The Company may, with the consent of the Holder, at any time
          or from time to time amend the terms and conditions of this Option, and may at
          any time or from time to time amend the terms of this Option. 

         (o)       
          Notices. Any notice which either party hereto may be required or
          permitted to give to the other shall be in writing, and may be delivered
          personally or by mail, postage prepaid, or overnight courier, addressed as
          follows: if to the Company, at its office at 111 Arlozorov Street, Tel Aviv,
          Israel, 62098, Attn: Vice President – Investments and Corporate Affairs, or
          at such other address as the Company by notice to the Holder may designate in
          writing from time to time; and if to the Holder, at the address shown below her
          signature on this Option Certificate, or at such other address as the Holder by
          notice to the Company may designate in writing from time to time. Notices shall
          be effective upon receipt. 

         (p)       
          Interpretation. A determination of the Committee as to any questions
          which may arise with respect to the interpretation of the provisions of this
          Option and of the Plan shall be final and binding. The Committee may authorize
          and establish such rules, regulations and revisions thereof as it may deem
          advisable. 

5

        IN
WITNESS WHEREOF, the parties have executed this Option Certificate as of the date set
forth above. 

			AMPAL-AMERICAN ISRAEL CORPORATION

By:
——————————————

   Name:

   Title:

ACCEPTED:

______________________________

Holder

______________________________

Address

______________________________

City State Zip Code

______________________________

Social Security/ID Number

610-K

Exhibit 10r  

AGREEMENT OF CERTAIN
SHAREHOLDERS 

BETWEEN 

MERHAV AMPAL ENERGY
LIMITED 

AND 

MERHAV (M.N.F.) LIMITED 

dated as of August 1,
2006 

TABLE OF CONTENTS 

	 			Page(s)

	 			
	 			
	 			
	 			
	 	 		 
	ARTICLE I DEFINITIONS	2 
	 	 	 	
	ARTICLE II NOMINEE ARRANGEMENT	4 
	 	 2.1	Ownership and Benefits	4 
	 	 2.2	Capital Calls; Additional Shares	4 
	 	 2.3	Registration	5 
	 	 	 	
	ARTICLE III TRANSFER OF SHARES	5 
	 	 3.1	Restrictions on Transfer	5 
	 	 3.2	Tag Along Right	6 
	 	 	 	
	ARTICLE IV BOARD OF DIRECTORS; SHAREHOLDER VOTING AGREEMENTS	6 
	 	 4.1	Designation of Directors	6 
	 	 4.2	Voting Agreements	6 
	 	 4.3	Shareholder Meetings	7 
	 	 	 	
	ARTICLE V MISCELLANEOUS	7 
	 	 5.1	Governing Law	7 
	 	 5.2	Consent to Jurisdiction	7 
	 	 5.3	Remedies	8 
	 	 5.4	Severability	8 
	 	 5.5	Interpretation	8 
	 	 5.6	Costs and Expenses	8 
	 	 5.7	Notices	8 
	 	 5.8	Counterparts	9 
	 	 5.9	Entire Agreement	9 
	 	 5.10	No Third Party Rights; Assignment	9 
	 	 5.11	Waivers and Amendments	9 

ii

AGREEMENT OF CERTAIN
SHAREHOLDERS 

        AGREEMENT
OF CERTAIN SHAREHOLDERS (this “Agreement”), dated as of August 1, 2006,
between Merhav (m.n.f) Limited, a company organized under the laws of the State of Israel
(“Merhav”), and Merhav Ampal Energy Limited, a company organized under
the laws of the State of Israel (“Ampal Energy”) (each, a
“Party” and, collectively, the “Parties,” and together
with any other person that becomes party hereto, the “Shareholders”). 

RECITALS 

        WHEREAS,
Merhav and Ampal Energy entered into that certain Omnibus Agreement, dated as of December
1, 2005, pursuant to which Ampal Energy purchased from Merhav the beneficial interest in
1,200 normal shares of the outstanding capital stock of East Mediterranean Gas. Co.
S.A.E., an Egyptian Company (“EMG”) from Merhav; 

        WHEREAS,
Ampal Energy has exercised its option to purchase an additional 2,760 shares of EMG in
accordance with the terms of that certain Stock Purchase Agreement (the “Stock
Purchase Agreement”), dated as of the date hereof, between Merhav and Ampal
Energy; 

        WHEREAS,
pursuant to the Stock Purchase Agreement, Merhav sold to Ampal Energy 2,760 shares (the
“New EMG Shares”) of EMG Stock. 

        WHEREAS,
as of the date hereof, Merhav beneficially owns 11,040 shares of EMG Stock, such shares
representing 18.4% of the issued and outstanding capital stock of EMG; 

        WHEREAS,
as of the date hereof, Ampal Energy owns 3,960 shares (together with any subsequent shares
of EMG Stock acquired by Ampal Energy, the “Ampal Shares”) such shares
representing 6.6% of the issued and outstanding capital stock of EMG; 

        WHEREAS,
pursuant to Article 43 of the Statutes of EMG, as amended, a General Assembly of the
Shareholders of EMG (“General Assembly”) must convene annually during the
three months following the end of EMG’s fiscal year, which fiscal year ends on
December 31st; 

        WHEREAS,
pursuant to the Article 21 of the Statutes of EMG, as amended, there are currently two
members representing Merhav currently serving (the “Merhav Directors”) on
the Board of Directors of EMG (the “Board”); 

        WHEREAS,
at the meeting of the General Assembly held on March 13, 2006, Merhav designated Messrs.
Yossef A. Maiman and Nimrod Novik as the Merhav Directors and Messrs. Yossef A. Maiman and
Nimrod Novik are, as of the date hereof, the current Merhav Directors; 

        WHEREAS,
as a condition to Ampal Energy’s purchase of the New EMG Shares pursuant to the Stock
Purchase Agreement, Merhav has agreed, among other things, to grant Ampal Energy (a) tag
along rights with respect to any sale of the shares of EMG Stock held by Merhav (the
“Merhav Shares”) at the time of such transfer; and (b) the right to
consult with Merhav regarding the appointment of the Merhav Directors, as provided for in
this Agreement. 

        NOW,
THEREFORE, in consideration of the aforesaid premises and of the mutual representations,
warranties and covenants contained herein, and for other good and valuable consideration,
the receipt and sufficiency of which is hereby acknowledged, the Shareholders hereby agree
as follows: 

ARTICLE I 

DEFINITIONS 

The following terms shall have the
following meanings for purposes of this Agreement: 

        “Affiliate”
means (a) with respect to any Person (other than an individual), a person that directly or
indirectly, through one or more intermediaries, controls, is controlled by, or is under
common control with, such person, where “control” means the possession, directly
or indirectly, of the power to direct or cause the direction of the management policies of
a Person, whether through the ownership of voting securities, by contract, as trustee or
executor, or otherwise and (b) with respect to any individual, any relative or spouse of
such Person, or any relative of such spouse, who has the same home as such Person. 

        “Agreement”
has the meaning set forth in the Preamble. 

        “Ampal
Appointee” has the meaning set forth in the Recitals. 

        “Ampal Energy”
has the meaning set forth in the Preamble. 

        “Ampal
Shares” has the meaning set forth in the Recitals. 

        “Ampal Stock”
means the Class A Stock, par value $1.00 per share, of Ampal-American Israel Corporation,
a New York corporation. 

        “Board”
has the meaning set forth in the Recitals. 

        “Business
Day” shall mean any day that is not a Saturday, Sunday or other day on which
banks are required or authorized by Law to be closed in New York City on Israel. 

        “Egyptian
Law” means any law (including common law), statute, statutory instrument, code,
ordinance, regulation, directive, legally binding rule, decree or other legally
enforceable obligation imposed by a court or other entity of the Arab Republic of Egypt. 

        “EMG
Organizational Documents” means (i) the Decree of the General Authority for
Investment and Free Zones No. 1020 of 2000 Regarding Authorization for the Establishment
of East Mediterranean Gas Company an Egyptian Joint Stock Company According to the Special
Free Zones System, as amended from time to time, (ii) the Statutes of East Mediterranean
Gas Company an Egyptian Joint Stock Company According to the Special Free Zones System, as
may be amended from time to time and (iii) any other document or instrument relating to
the formation or governance of EMG. 

2

        “EMG
Stock”" means the normal shares of East Mediterranean Gas. Co. S.A.E., an Egyptian
Company.  

        “Exercise
Notice” has the meaning set forth in Section 3.2(b). 

        “Exercise Period”
has the meaning set forth in Section 3.2(b). 

        “General
Assembly” has the meaning set forth in the Recitals. 

        “Ampal
Appointee” has the meaning set forth in the Recitals. 

        “Lien”
means any mortgage, pledge, hypothecation, charge, assignment, deposit arrangement,
encumbrance, security interest, lien, fiduciary assignment and any security or similar
agreement of any kind or nature whatsoever. 

        “Merhav
Directors” has the meaning set forth in the Recitals. 

        “Merhav Shares”
has the meaning set forth in the Recitals. 

        “Merhav”
has the meaning set forth in the Preamble. 

        “New
EMG Shares” has the meaning set forth in the Recitals. 

        “Offer”
has the meaning set forth in Section 3.2(a). 

        “Offer
Notice” has the meaning set forth in Section 3.2(a). 

        “Omnibus
Agreement” has the meaning set forth in the Recitals. 

        “Parties”
has the meaning set forth in the Preamble. 

        “Party”
has the meaning set forth in the Preamble. 

        “Person”
means an individual, corporation, partnership, trust, limited liability company, a branch
of any legal entity, unincorporated organization, joint stock company, joint venture,
association or other entity, or any government, or any agency or political subdivision
thereof. 

        “Shareholders”
has the meaning set forth in the Preamble. 

        “Statutes
of EMG” means the Statutes of East Mediterranean Gas Company An Egyptian Joint
Stock Company According to the Special Free Zones System, as amended from time to time. 

        “Stock
Purchase Agreement” has the meaning set forth in the Recitals. 

        “Transfer”
means, whether voluntary or involuntary, any transfer, assignment (including any fiduciary
assignment), conveyance and sale. 

        “Transferee”
has the meaning set forth in Section 3.1(a). 

3

ARTICLE II 

NOMINEE ARRANGEMENT 

        2.1    Ownership and Benefits. To
the extent that the Ampal Shares have not been registered in the name of Ampal Energy on
the books and records of EMG, Merhav shall act as nominee on behalf of Ampal Energy with
respect to the Ampal Shares and agree as follows: 

             (a)    
          Merhav and Ampal Energy hereby agree that the Ampal Shares shall, subject to
          Section 2.3, be held in the name of Merhav, but that the economic and all other
          beneficial interests in and to he Ampal Shares (including the right to direct
          the votes of the Ampal Shares) shall belong at all times to Ampal Energy for all
          purposes whatsoever. Merhav and Ampal Energy agree that all the benefits
          associated with the Ampal Shares shall at all times be solely those of Ampal
          Energy, and that Merhav shall have no beneficial right whatsoever to the Ampal
          Shares. All dividends and other distributions with respect to the Ampal Shares
          shall belong to Ampal Energy. 

             (b)    
          Merhav agrees to take any action with respect to the Ampal Shares (including,
          without limitation, with respect to the voting, sale, pledge or other
          disposition of the Ampal Shares) as shall be requested from time to time by
          Ampal Energy, to the extent permissible by the constituent documents of EMG and
          otherwise in accordance with this Agreement. 

             (c)    
          The Parties hereby agree that Merhav will establish a bank account (the
          “Bank Account”) with a bank mutually acceptable to the parties (the
          “Bank”) in its name, and that Merhav, as legal holder of the Ampal
          Shares, shall instruct EMG to remit any and all dividends and distributions with
          respect to all shares of EMG held by Merhav to the Bank Account. Merhav hereby
          agrees that it shall not, without the consent of Ampal Energy, instruct EMG to
          remit dividends and other distributions payable on the Ampal Shares to any
          account other than the Bank Account. Merhav shall instruct the Bank (such
          instructions to be changed only by joint notification to the Bank from Ampal
          Energy and Merhav) to immediately transfer to Ampal Energy such part of any
          dividends or distributions or other money received in the Bank Account, which is
          attributable and/or paid with respect to the Ampal Shares. The parties will use
          their commercially reasonable efforts to have the Bank acknowledge the agreement
          set forth in this Paragraph 2.1(c). 

             (d)    
          In the event Merhav receives any dividends or distributions or other money in
          respect of the Ampal Shares, which was not remitted to Ampal Energy in
          accordance with Section 2.1(c), such distributions and moneys shall belong to
          Ampal Energy and shall be remitted to Ampal Energy by Merhav promptly upon
          receipt. 

        2.2    Capital Calls; Additional
Shares. (a) Each of Ampal Energy and Merhav hereby covenants to pay and contribute to
EMG (in the case of Ampal Energy, either directly or through payment to Merhav) its pro
rata share of the amounts required to be paid by shareholders of EMG pursuant to
EMG’s constituent documents or other agreements between EMG and its shareholders or
among EMG’s shareholders. Merhav shall notify Ampal Energy of any such capital calls
no more than two (2) Business Days following receipt by nominee of a capital call from
EMG. In the event Merhav does not intend to make such required capital contribution it
shall so notify Ampal Energy of such intention reasonably in advance of the due date for
such capital contribution so as to permit Ampal Energy to make such capital contribution
in accordance with this Section 2.2(a). 

4

             (b)    
          In the event Merhav has notified Ampal Energy that it will not make a required
          capital contribution, the parties hereby agree that Ampal Energy may elect to
          make such capital contribution on behalf of Merhav, and Merhav shall cooperate
          and take all necessary action to cause such capital contribution to be made with
          the funds provided by Ampal Energy. In the event Ampal Energy does make such
          capital contribution, without any further action necessary, Merhav hereby
          assigns to Ampal Energy the beneficial ownership of such number of additional
          shares of Merhav Stock for its own account equal to the quotient determined (x)
          the amount paid by Ampal Energy with respect to such capital call (less the
          amount attributable to the Ampal Shares) divided by (y) the weighted
          average of the Purchase Price Per Share set forth in the Stock Purchase
          Agreement and the purchase price per share of EMG Stock set forth in the Omnibus
          Agreement. Merhav shall provide any other instruments or documents reasonably
          requested by Ampal Energy to evidence any transfer or assignment of Merhav
          Shares hereunder. Any additional Merhav Shares transferred hereunder shall be
          subject to the same restrictions on transfer set forth in Section 2.1(a) of the
          Omnibus Agreement. 

        2.3    Registration. At any time
upon the request of Ampal Energy, Merhav shall promptly take all necessary actions to
transfer on the register of EMG in accordance with the constituent documents of EMG and
Egyptian Law, the full valid legal title to the Ampal Shares, free and clear of any Liens.
Merhav shall be responsible for any transfer, stamp or similar taxes in connection with
such transfer. Merhav hereby represents and warrants that no consent or approval
(including, without limitation, any signature or other document) of EMG or any other
Person is necessary for the registration of the Ampal Shares in the name of Ampal on the
books and records of EMG (other than notifying the General Authority for Investments and
Free Zones and subject to the requirements of the General Authority for Investments and
Free Zones). Merhav, in consideration of the undertakings herein and in the Stock Purchase
Agreement, hereby authorizes Ampal Energy to execute any documents necessary or advisable
in the name of, and on behalf of, Merhav that are required for the transfer of legal title
of the Ampal Shares to Ampal Energy on the book and records of EMG. 

ARTICLE III 

TRANSFER OF SHARES 

        3.1    Restrictions on
Transfer  

             (a)    
          (Other than to its own Affiliate neither Party may Transfer any of the its
          shares of EMG Stock to any Person other than to the other Party or its
          Affiliates (a “Transferee”) except as hereinafter provided or
          as provided in the Stock Purchase Agreement. 

             (b)    
          As a condition to the consummation of any Transfer to a Transferee, Merhav shall
          cause such Transferee to sign a counterpart to this Agreement and agree to be
          bound by the same terms to which Merhav is bound under this Agreement, other
          than those terms contained in Article II and Sections 3.1., 3.2 and 4.1. 

5

        3.2    Tag Along Right  

             (a)    
          If at any time after the date hereof, a Party (the “Transferring
          Party”) desires to Transfer some or all of the Shares of EMG held by
          the Transferring Party, and the Transferring Party shall have obtained a bona
          fide written offer from an unrelated third-party proposed Transferee (an
          “Offer”), the Transferring Party shall promptly deliver to the
          other Party (the “Offeree”) a written notice (an “Offer
          Notice”), enclosing a copy of the Offer, offering the Offeree to
          exercise, during a period of 30 days after deliver of the Offer Notice (the
          “Exercise Period”), a right to sell a portion of its shares in
          such Offer to such Transferee on the same terms and conditions as set forth in
          such Offer, up to an amount of such number of shares equal to the product of (A)
          the number of shares of EMG Stock subject to the Offer and (B) a fraction, the
          numerator of which is the number of shares of EMG Stock owned by the Offerree
          and the denominator of which is the aggregate number of shares of EMG Stock
          owned by the Transferring Party and the Offerree. The number of shares to be
          sold by the Transferring Party to such Transferee shall be reduced by the number
          of shares to be sold by the Offerree hereunder. 

             (b)    
          Any election to sell made by the Offerree hereunder shall be made by written
          notice during the Exercise Period from the Offerree to the Transferring Party. 

             (c)    
          Any Transfer by the Offerree pursuant to this Section 3.2 shall be for the
          purchase price and on the terms and conditions set forth in the related Offer,
          and the closing thereof shall be concurrent with the Transfer by the
          Transferring Party. 

             (d)    
          In the event that the Offerree does not elect to sell pursuant to this Section
          3.2, or does not respond during the Exercise Period, then the Transferring Party
          shall have the right to consummate the Transfer of its Shares of EMG Stock in
          accordance with the terms of the Offer during the 180-day period following the
          expiration of the Exercise Period relating to such Offer, provided that such
          unrelated third Party Transferee shall undertake to be bound by the provisions
          of Section 4.2 of this Agreement. 

ARTICLE IV 

BOARD OF DIRECTORS;
SHAREHOLDER VOTING AGREEMENTS 

        4.1    Designation of Directors.
With regards to the appointment of the Merhav Directors, the Parties agree that (x) prior
to the appointment or re-appointment of any Merhav Director, Merhav shall have consulted
with Ampal Energy regarding such appointment or re-appointment, and (y) in the event that
Merhav ceases to hold any shares of EMG Stock, the Shareholders shall appoint or
re-appoint the Merhav Directors, as necessary and from time to time, only after such
appointee has received the approval of Shareholders representing greater than 50% of the
shares of EMG Stock held by all of the Shareholders. 

        4.2    Voting Agreements.  

             (a)    
          The Parties agree that (x) each Shareholder shall not vote its shares of EMG
          Stock, or (y) Merhav, if acting as nominee, shall not vote such shares as
          nominee for such Shareholder in favor of, or vote against, any of the following
          actions unless Shareholders representing 85% of the shares of EMG Stock held by
          all of the Shareholders have voted in favor of such action: 

6

		    (i)                     any
change in the purpose of EMG as stated in the EMG Organizational Documents;  

		    (ii)                     any
sale of all or substantially all of EMG’s assets;  

		    (iii)                     the
merger or consolidation of EMG with any other party;  

		    (iv)                     the
liquidation or dissolution of EMG;  

		    (v)                     any
proposed amendment to the EMG Organizational Documents;  

		    (vi)                     any
demand for additional capital from the shareholders of EMG; or  

		    (vii)                     any
request for special distributions from EMG.  

             (b)    
          If at any time Merhav owns less than 13% of the EMG Stock held in the aggregate
          by the Shareholders, the Shareholders agree to vote their respective shares of
          EMG Stock (including making shareholder proposals) as directed by a vote of the
          majority of shares of EMG Stock held by the Shareholders. 

        4.3    Shareholder Meetings. On
ten day’s notice, any Shareholder may call a meeting of shareholders for any purpose
relating to EMG, this Agreement or the Stock Purchase Agreement. 

ARTICLE V 

MISCELLANEOUS 

        5.1    Governing Law. This
Agreement shall be governed in all respects, including validity, interpretation and
effect, by the internal laws of the State of Israel without regard to its conflict of law
principles . 

        5.2    Consent to Jurisdiction.
The Parties hereby agrees that: (i) any legal proceeding arising out of or relating to
this Agreement or the transactions contemplated hereby may be brought in court in the Tel
Aviv – Jaffa District of the State of Israel; (ii) such party shall not make any
venue objection with respect to any action commenced in any such court; (iii) such party
may be served by registered or certified mail, return receipt requested, addressed as
provided in Section 4.8 hereof; and (iv) such party irrevocably waives, to the fullest
extent permitted by applicable law, any and all right to trial by jury in any legal
proceeding arising out of or relating to this Agreement or the transactions contemplated
hereby. 

7

        5.3    Remedies. It is expressly
understood that the equitable remedies of specific performance and injunction shall be
available for the enforcement of the covenants and agreements herein, and that the
availability of these equitable remedies shall not be deemed to limit any other right or
remedy to which any party to this Agreement would otherwise be entitled. 

        5.4    Severability. Each
Section, subsection and clause of this Agreement constitutes a separate and distinct
undertaking, covenant or provision hereof. In the event that any provision of this
Agreement shall finally be determined to be unlawful, such provision shall be deemed
severed from this Agreement, but every other provision of this Agreement shall remain in
full force and effect. 

        5.5    Interpretation. Whenever
used in this Agreement, except as otherwise expressly provided or unless the context
otherwise requires, any noun or pronoun shall be deemed to include the plural as well as
the singular and to cover all genders. Unless otherwise specified, words such as
“herein”, “hereof”, “hereby”, “hereunder” and
words of similar import refer to this Agreement as a whole and not to any particular
Section or subsection of this Agreement, and references herein to “Articles” or
“Sections” refer to Articles or Sections of this Agreement. The headings in this
Agreement are intended solely for convenience of reference and shall be given no effect in
the construction or interpretation of this Agreement. 

        5.6    Costs and Expenses. Each
party shall bear its own expenses incurred in connection with the negotiation,
preparation, execution and closing of this Agreement and the transactions provided for
hereby. 

        5.7    Notices. All notices or
other communications required or permitted by this Agreement or any other Transaction
Document shall be effective upon receipt and shall be in writing and delivered personally
or by overnight courier, or sent by facsimile (with confirmation copies delivered
personally or by courier within three (3) business days), as follows: 

If to Merhav, to:

	 	Merhav
(m.n.f) Ltd. 

33 Havatzelet Hasharon Street 

Herzlia, Israel 

Attention: Mr. Yossef Maiman and Mr. Leo Malamud 

Facsimile:+972-9-9501733 

with copies to:

	 	M.
Firon & Co., Advocates and Notaries 

16 Abba Hillel St., 

Ramat Gan, Israel 

Attention:   Adv. Eldad Firon and Adv. Nimrod Bashan 

Facsimile: +972-3-7540011 

8

If to Ampal Energy, to:

	 	Merhav
Ampal Energy Limited 

c/o Ampal-American Israel Corp. 

111 Arlozorov Street 

Tel Aviv 62098 Israel 

Attention: Yoram Firon 

Facsimile:+972-3-6080101 

with copies to:

	 	Bryan
Cave LLP 

1290 Avenue of the Americas 

New York, NY, USA 10019 

Attention: Kenneth Henderson, Esq. 

Facsimile: (212) 541-1357 

or to such other address as hereafter
shall be furnished as provided in this Section 4.7 by any Party to any other Party. If
notice is to be given to another Shareholder, such notice shall be sent to the address on
the counterpart signature page pursuant to which such Shareholder became party to this
Agreement. Any demand, notice or other communication given by personal delivery shall be
conclusively deemed to have been given on the day of actual delivery thereof and, if given
by facsimile, on the day of transmittal thereof if given during the normal business hours
of the recipient, and on the business day during which such normal business hours next
occur if not given during such hours on any day. 

        5.8    Counterparts. This
Agreement and may be executed in any number of counterparts, each of which shall be deemed
an original, but all of which together shall constitute a single instrument. 

        5.9    Entire Agreement. This
Agreement sets forth the entire understanding and agreement between the Parties as to the
matters covered herein and therein and supersede and replace any prior understanding,
agreement or statement of intent, in each case, written or oral, of any and every nature
with respect thereto. 

        5.10    No Third Party Rights;
Assignment. Notwithstanding anything to the contrary contained herein, this Agreement
is intended to be solely for the benefit of the Parties and is not intended to confer any
benefits upon, or create any rights in favor, of any person other than the Parties and
shall not be assignable without the prior written consent of the other Party. 

        5.11    Waivers and Amendments.
No modification of or amendment to this Agreement shall be valid unless in a writing
signed by the Parties referring specifically to this Agreement and stating the
Parties’ intention to modify or amend the same. Any waiver of any term or condition
of this Agreement must be in a writing signed by the Party sought to be charged with such
waiver referring specifically to the term or condition to be waived, and no such waiver
shall be deemed to constitute the waiver of any other breach of the same or of any other
term or condition of this Agreement. 

[SIGNATURES ARE ON THE
FOLLOWING PAGE] 

9

        IN
WITNESS WHEREOF, the parties hereto have duly executed this Agreement of Certain
Shareholders as of the date first above written. 

			MERHAV AMPAL ENERGY LIMITED

By: /s/ Jack Bigio
       /s/ Irit Eluz
——————————————

Name: Jack Bigio, Irit Eluz
Title:  CEO,             CFO

			MERHAV (M.N.F)  LIMITED

By: /s/ Yosef A. Maiman 
——————————————

Name: Yosef A. Maiman
Title: Director

[SIGNATURE PAGE TO
AGREEMENT OF CERTAIN SHAREHOLDERS]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00120-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00120-of-00352.parquet"}]]