TEL AVIV, Aug 20 (Reuters) - Israel plans to buy two

Boeing ( BA )-made KC-46 military aerial refuelling tankers in a $500

million deal to be financed with U.S. military aid, the Israeli

defence ministry said on Wednesday.

It said it would sign the contract with the U.S. government

once an Israeli ministerial committee for defence procurement

grants its approval. The U.S. government oversees foreign

military sales and transfers to other nations.

The military already operates four Boeing ( BA )-made KC-46 aerial

tankers, the defence ministry said in a statement.

Ministry Director General Amir Baram said in the

statement that the aircraft would strengthen the military's

long-range strategic capabilities, enabling it to operate

farther afield with greater force and with increased scope.

Israel used such aerial refuelling tankers during its

12-day air war against

Iran

in June.

The statement said the contract would include equipping the

planes with Israeli systems, which it did not specify.

Washington provides close Middle East ally Israel with

billions of dollars each year to purchase American weapons and

equipment.

"The contract's scope is estimated at approximately half a

billion USD (U.S. dollars) and is funded through U.S. aid," the

ministry statement said.

Recently, some U.S. Republicans and Democrats have

questioned whether the government should continue giving Israel

military aid, citing its war in Gaza and concerns over whether

taxpayer dollars might be better spent on domestic priorities.