Israel approves $35bn gas deal with Egypt, Netanyahu says

Israeli Prime Minister Benjamin Netanyahu announced on Wednesday that he approved a major gas export deal with Egypt worth nearly $35 billion.

“Today, I approved the largest gas deal in Israel’s history. The deal is worth 112 billion shekels ($34.7 billion). Of this total, 58 billion shekels ($18 billion) will go to the state coffers,” Netanyahu said in a televised address.

“The agreement involves the American company Chevron, along with Israeli partners who will supply gas to Egypt,” he added.

Energy Minister Eli Cohen, present during the announcement, called it the “largest export deal in the state’s history.”

Netanyahu said the revenue would “strengthen education, healthcare, infrastructure, security, and the future of the next generations,” while also enhancing “Israel’s status as a regional energy power.”

Israeli firm NewMed Energy had announced in August the $35 billion agreement to supply Egypt with natural gas. The deal is expected to raise the total volume of gas delivered to Egypt to 130 billion cubic metres.

NewMed CEO Yossi Abu called the agreement “a historic day for the natural gas sector, ensuring continued investment in Israel and regulatory stability for years to come.”

However, Israeli NGO Movement for Quality Government expressed concern about the approval process, urging the government to disclose details and clarify its impact on long-term reserves and consumer prices.