After counting of about 76 percent of the votes polled was completed early on Wednesday, a Likud party spokesman announced that Netanyahu had secured about 74 percent of the votes counted so far. His rival Feiglin was trailing behind with only 26 percent.
Voters turnout was low, mainly due to the poor weather conditions across the country. Nevertheless, about half of Likud's 125,000 members voted to choose their leader. Final results are expected to be released later on Wednesday.
Earlier, Netanyahu had claimed victory in a speech delivered at the Tel Aviv fairgrounds on Monday night, saying: "I thank you all for the confidence and renewed support you have given me."
Netanyahu had defeated Feiglin by almost the same margin in the 2007 Likud leadership elections. He was later elected as the Israeli Prime Minister in 2009. But his subsequent decision to back the concept of an independent Palestinian State had angered hard-line Likud loyalists.
Ultra nationalists want West Bank to remain a part of the Jewish nation over religious and security reasons. In an effort to placate them, Netanyahu's government had announced new housing subsidies for those who move into Jewish settlements in the West Bank.
The move has threatened to derail ongoing international efforts aimed at reviving the currently stalled peace talks initiated by the U.S. between Israel and the Palestinians.
Palestinian and Israeli negotiators had resumed peace negotiations under the mediation of the United States in Washington on September 2, 2010. The talks, which came after a gap of nearly two years, ended in a deadlock after Israel's refusal to extend a construction freeze in the West Bank after its expiry on September 26, 2010.
Israel has since approved several plans to build new settler homes in the West Bank and East Jerusalem, ignoring strong objections from the international community. Palestinians are seeking an independent State with pre-1967 borders and East Jerusalem as its capital
Israel has already settled about 500,000 Jews in more than 100 settlements in the West Bank and East Jerusalem since the 1967 Six-Day War. However, Israel's annexation of the captured territories is not recognized by the international community, which considers building settlements in occupied land as illegal.

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