Immigration Law Update – Israel, March 27, 2025

    March 27, 2025

    Groundbreaking Directors General Decision: For the First Time – A New Track for Employing Foreign Experts in the Energy Sector

    Dear Clients,

    We are pleased to share a groundbreaking regulatory development, led by the Ministry of Energy and Infrastructure, marking a new era in the employment of foreign professionals in Israel’s energy sector.

    A new Directors General decision has been published, enabling for the first time the employment of foreign experts in onshore oil and natural gas drilling projects, under the framework of the “Unique Technology and Mechanization” procedure. This is a historic and unprecedented decision in this sector, fundamentally reshaping the regulatory landscape and removing long-standing barriers to activity.

    Key highlights of the decision:

    • Official recognition of the critical need for foreign expertise in onshore drilling—a field requiring advanced knowledge, experience, technology, and capital.

    • Removal of the previous requirement to employ 50% Israeli workers in such projects—a major regulatory barrier.

    • Transition from the “Foreign Experts” track, which required a minimum monthly salary of twice the national average wage (NIS 26,306), to the “Unique Technology and Mechanization” track, which allows for minimum wage levels aligned with international market standards.

    • Elimination of the former three-month limit on employment duration for temporary permits.

    • Recognition that drilling teams are specialized, short-term, mobile units that cannot be sourced from the local labor market.

    It is important to note that, according to data from the Ministry of Energy, the cost of employing a basic drilling worker stands at approximately NIS 49,982 per month for 24 workdays, and often even higher. These wage levels, significantly above international norms, have created a substantial economic barrier for companies wishing to engage in onshore drilling projects.

    This Directors General decision opens the door for broader industry participation and is expected to significantly boost onshore oil and gas exploration activity in Israel.

    As shared by a senior industry representative:

    “In my opinion, this is one of the most impactful decisions made in the onshore drilling sector in recent years. It is expected to greatly enhance the prospects for oil and gas exploration in Israel for many years to come.
    This decision truly changed the game for the industry – an outstanding achievement.”

    The decision is already in effect. We would be happy to assist you in developing a tailored strategy and submitting applications under the new framework.

     


     
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