/C O R R E C T I O N — Oil Refineries Ltd/

By Oil Refineries Ltd, PRNE
Wednesday, March 24, 2010

HAIFA, Israel, March 25, 2010 - In the news release, "Oil Refineries Responds to Change in its Credit
Rating" issued on 25 Mar 2010 17:28 GMT, by Oil Refineries Ltd TASE:ORL
over PR Newswire, we are advised by a representative of the company that
additional, unnecessary tables were included after the "About Oil Refineries
Ltd." section.

Complete, corrected release follows:

Oil Refineries Ltd. (TASE: ORL.TA) (the "Company" or "ORL"),
Israel's largest oil refiner, announced that on March 25th, 2010
Standard and Poor's Maalot ("Maalot") downgraded the

Company's debentures (Series A, B and C as well as untraded
debentures) from ilA/Negative to il A-/Stable. The full Maalot report is
available in Hebrew on the Company's website under Investor Relations -
Company Releases. The English version will be available next week.

The Company requests to emphasize that in July 2009, after
discussing the company's credit rating while it was on the Watch List, Maalot
decided not to change the rating. From that time, the company's business
situation and general economic environment, have substantially improved. In
addition, the Company's investment outlook in the coming years in
implementing the company's strategic plan, takes into account that according
to the terms of the debentures (Series A - C), most of the payments and
repayment of the bonds will begin in 2012, the date at which the company
expects to receive a large cash contribution to investments.

Since being removed from the watch list, the following
positive developments have occurred:

    - The company completed two significant projects within its
      strategic plan, which boosts its refining margins: Increasing refining
      flexibility of Crude Unit 4 and stage 1 of the conversion of HVGO
      desulphurization plant into a mild hydrocracker.

    - The company reported higher refining margins in the second
      half of 2009. Also, the company reported significantly higher refining
      margins in 2009 compared with those prevailing in the industry.

    - In the first quarter of 2010 there was a significant rise in
      regional and worldwide refining margins, as reported by international

    - Finalization of $900 million financing program to continue
      carrying out the Company's strategic plan and meet its capital needs.
      This was done after the Company's debt repayment abilities were
      reviewed by the financing bodies.

    - The company acquired the remaining shares of Caramel Olefins
      Ltd., thus merging its petrochemicals of and fuel activities. The
      Company believes that the petrochemical activities, composed of
      polymers and aromatics, operate on a different business cycle from the
      refining activities, thus reducing company's business risks.

    - The Company completed the acquisition of the remaining
      shares of Haifa Basic Oils Ltd, adding oils and waxes to its
      petrochemicals segment. The merger allows for better optimization of
      the current activities and opens the possibility to future synergies.

    - The Government decided to proceed with the project of
      connecting the natural gas pipeline to Haifa Bay, ending previous
      delays to the process.

The Company believes that its strategic plan and investments,
as well as the organizational changes and streamlining of processes
implemented, will enable the Company, as in the past, to meet all of its
obligations to the highest standards, while continuing with routine
activities and investments.

About Oil Refineries Ltd.

Oil Refineries Ltd. (ORL), located in the bay area of the city
of Haifa, operates Israel's largest oil refinery. ORL runs sophisticated and
state-of-the-art industrial facilities with a refining capacity of 9.8
million tons of crude oil per year and a Nelson Complexity Index of 7.4,
providing a variety of quality products used in industrial operation,
transportation, private consumption, agriculture and infrastructure. The
Company is also active in the area of Polymers and Aromatics through its
holdings in Carmel Olefins Ltd and Gadiv Petrochemical Industries Ltd. The
Company's shares are listed on the Tel Aviv Stock Exchange under the ticker
ORL. For additional information please visit www.orl.co.il.

The above noted in this release, such as the refining margins
trends, the effects of the merger, and the connecting of a natural gas
pipeline to Haifa Bay, includes forward-looking statements based on Company
data, as well as Company plans and estimations based on this data. The
activity, results and other data may be substantially different in reality
given uncertainty and various risks, including those discussed under risk
factors in the Company's financial statements and Director's reports.

    Company Contact:

    Rony Solonicof
    Chief Economist and Head of Investor Relations
    Tel. +972-4-878-8152
    Contact IREn@orl.co.il

    Investor Relations Contact:

    Ehud Helft / Porat Saar
    CCG Israel
    Tel. (US) +1-646-233-2161 / (Int.) +972-52-776-3687

Company Contact: Rony Solonicof, Chief Economist and Head of Investor Relations, Tel. +972-4-878-8152, Contact IREn at orl.co.il; Investor Relations Contact: Ehud Helft / Porat Saar, CCG Israel, Tel. (US) +1-646-233-2161 / (Int.) +972-52-776-3687, info at ccgisrael.com

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