Israel started exporting natural gas to southern neighbor Egypt on Wednesday, the energy ministers of both countries said. In a joint statement, Energy Minister Yuval Steinitz and his Egyptian counterpart, Minister of Petroleum Tarek El-Molla, said the development would "serve the economic interests of the two sides."
The flow of natural gas to Egypt will both serve the domestic market and also enable exports of gas to Europe, via liquefied natural gas (LNG) terminals located in Egypt. Yossi Abu, CEO of Delek Drilling: “Today marks a new era in the Middle East energy sector.
We are proud and honored to be a part of these historic times.Exporting gas from Leviathan to Egypt will contribute to both the Israeli and Egyptian economies, support regional stability and strengthen Egypt’s role as a regional energy hub.”
Later on Wednesday, the energy ministers will participate in a meeting of the Eastern Mediterranean Gas Forum (EMGF) in Cairo, together with energy ministers from Italy, Greece, Cyprus, Jordan and the Palestinian Authority. The ministers are expected to develop and sign a constitution at the meeting, turning the forum into a regional organization.
Last month, the Energy Ministry granted approval for the export of a total of 60 billion cubic meters (bcm) of natural gas from the Leviathan gas reservoir and 25 bcm from Tamar over the next 15 years. The deal is valued at $15 billion.