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FINANCIAL NEWS
Israeli gas firms seek business with Egypt despite issues
08 Dec 2015
(MENAFN) Israeli firms Delek Group, Ratio Oil, and Isramco Negev are pushing ahead with talks to export natural gas to Egypt regardless to an arbitration ruling in a separate agreement that has been followed with anger in Cairo.
Egypt’s state-owned oil and gas firms will appeal more than USD2 billion in penalties which judges at the International Chamber of Commerce ordered them to pay after a deal involving gas exports to Israel collapsed in 2012.
However, the involved parties will continue to work with the relevant authorities in the governments of Israel and Egypt in order to get the required approvals, thus Israeli firms are in constant contact with the commercial companies in Egypt.
Israel was importing gas from Egypt under a 20-year contract but the pipeline became a target of militants and supplies were eventually halted, thus Israeli Electric Corp (IEC) won compensation after arguing it had suffered as a result.
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