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Egypt-Israel Gas Deal Amid Gaza war

Watan-An Israeli website has revealed a massive deal between Egypt and Israel, coinciding with the ongoing war launched by the Israeli army on the Gaza Strip.

According to the Israeli news site “ICE,” partners in Israel’s Tamar gas reservoir announced that gas exports to Egypt are expected to increase significantly in the coming years by an additional 4 billion cubic meters, a substantial increase compared to the amount supplied so far, which amounted to 2 billion cubic meters.

The site stated that around $24 million will be invested in developing gas pipeline infrastructure, allowing for increased natural gas production.

It was further explained that Egypt is one of Israel’s major customers in the natural gas sector, despite its intensive diplomatic activities between Israel and Hamas.

Unveiling a massive economic deal between Egypt and Israel
The Israeli Tamar Gas Reservoir

Increase in Export Volume

According to recent announcements by partners in the Tamar gas reservoir partnership, gas exports to Egypt are expected to increase significantly in the coming years.

One of the partners in the reservoir stated that starting from July 2025, exports to Egypt will increase by an additional 4 billion cubic meters, a significant increase compared to the amount supplied so far, which has been 2 billion cubic meters.

Additionally, another announcement was made regarding an investment of about $24 million in compressor upgrades, which will allow for increased natural gas production.

Egypt heavily relies on Israeli gas With an 80% decrease in Israeli gas exports due to the war, Egypt faced a severe crisis resulting in a significant increase in power outages.

Amit Mor, CEO of Eco Energy and lecturer at the Israeli Reichman University, stated that both Egypt and Jordan are experiencing a shortage of natural gas, leading to power outages across the countries.

He added that Israeli gas is also exported to Jordan, where 70% of electricity is produced using the Leviathan platform.

The decrease in Egypt
The decrease in Egypt’s imports of natural gas resulted in an increase in power outages

The site revealed that the increase in exports from the Tamar reservoir is just part of the movements that will affect the Israeli energy economy.

Among other expected steps is the establishment of a committee to study the policy of natural gas exports from new discoveries, which met for the first time last week.

The Israeli Ministry of Energy had previously approved increasing gas supplies to Egypt by an additional 4 billion cubic meters annually for 11 years.

This agreement, approved by the ministry, is expected to come into effect in July 2025, following the completion of work on expanding production capacity and laying a third pipeline from the Tamar reservoir.

It’s worth noting that this announcement comes six months after the then Minister of Energy and Infrastructure, Israel Katz, approved the expansion of gas exports from the Tamar reservoir to Egypt from 2 billion cubic meters to around 3.5 billion cubic meters annually, with the option to increase by an additional 0.5 billion cubic meters.

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