Egyptian- Israeli gas agreement signed; Bin Aleazer: best indicator for solid peace
Egypt-Israel, Politics, 7/1/2005

Both Israel and Egypt on Thursday signed an agreement at a cost of $ 2.5 billion to sell Egyptian natural gas to Israel. This came following a ten year delay in a step which proves the improvement of relations between the two countries. And the Israeli infrastructure minister Benjamin Bin Aleazer renewed the invitation for the Egyptian President Hosni Mubarak to visit Israel.

The MoU was signed by Egyptian Petroleum Minister Sameh Fahmi and Israeli Minister of Infrastructure Binyamin Ben Eliezer. The memo is part of an Egyptian-Israeli commitment to the third addendum to the peace treaty signed between the two countries in March 1979.

The memo was signed as part of Egypt's drive to diversify its natural gas export markets and to confirm its important role in achieving regional economic development necessary to enhance peace and stability in the region, Egyptian Presidential spokesman Magdi Radi said.

The deal also underlines Egypt's interest in regional cooperation to coordinate energy polices, supported by the European Union, as part of Jordan, Syria, Lebanon, Italy and the US.

The MoU prepared for a deal signed today between Egypt's Eastern Mediterranean Gas and Israel's Electric Corporation to sell natural gas to Israel the spokesman said. Radi said that the memo singed between the two countries included assurances by both sides on cooperation to build the necessary infrastructure needed for the export of gas to Israel.

Yesterday, Radi said, the Egyptian petroleum Minister and Palestinian Energy and Natural Resources Minister Azzam Al-shawa signed a memorandum of understanding on cooperation in the petroleum and gas industries domain.

The memo includes the possibility of probing ways to make use of natural gas excavations off the Gaza coasts, in coordination with Palestinian companies.

The agreement was signed in Cairo by the Egyptian oil minister Sameh Fehmi with Bin Aleazer who had earlier talks with Mubarak. The signing ceremony was attended by the Egyptian prime minister Ahmad Nazif.

At the signing ceremony, Bin Aleazer was asked on the date when the gas will start arriving in Israel, and he said "I hope this will be made within two years." He added "this is a historic day.. because it is the best indicator showing everyone that peace between Israel and Egypt is very solid." Bin Aleazer said that also during his meeting with Mubarak, developments on the plan of disengagement was discussed, adding he briefed the Egyptian President with "difficulties facing us."

He added "I had confirmed to President Mubarak that Israel has determined to achieve this operation in its set date and according to the set schedule to that effect." Replying to a question on whether he had reached with Egypt agreement on the number of soldiers who will be deployed on Gaza borders, the Israeli minister said this issue has been discussed, adding that the draft agreement is being debated between the two sides.

On the fate of the settlements in Gaza after withdrawal and whether they will be removed, Bin Aleazer said "Israel does not intend to destroy or damage these settlements, this includes utilities relating to water, electricity and roads which will be kept."

Bin Aleazer said he had renewed the invitation of the Israeli prime minister Ariel Sharon for Mubarak to visit Israel. He said "I think that the President (Mubarak) as he had promised before will come to ( Israel) at a certain time by the end of the year and the Israelis expect to see him." However, an official Egyptian statement said that the gas agreement falls in the course of the two sides commitment to the peace treaty. The Egyptian mass media have not highlighted news on signing the agreement.

During the few past weeks, the Egyptian opposition papers accused Mubarak's regime of increasing normalization relations with Israel in order to lessen American pressure on him to make democratic reforms.

According to this agreement, Egypt will export to Israel between 1.7 to 3 billion cubic feet of natural gas annually for 15 years. The gas will be exported in an under sea pipelines at a length of 100 kilometers and a cost of $ 160 million. This line links between Sheikh Zweid to the north of Sinai and Asqalan (Ashkelon) to the south of Palestine, according to the Egyptian dailies.

Previous Stories:
  Mubarak: Gaza withdrawal should be followed by further pullouts   (6/21/2005)
  Mubarak discuss with Perez Palestinian developments   (6/21/2005)
  Suleiman probes Israeli Gaza withdrawal in Ramallah, Tel Aviv   (6/17/2005)
  Egypt - Israel talks on power cooperation depend on progress in peace   (4/13/2000)
  Egyptian oil minister denies Egyptian gas exports to Israel   (3/16/1999)

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