Israel and Egypt have announced plans to boost gas deliveries to the European Union, after the three parties signed a new energy agreement in Cairo.
The new memorandum of understanding, which follows similar deals between the EU and the US, and the EU and Qatar, Israeli gas will be liquefied at plants in Egypt, before being sent by tanker to the bloc.
While Israeli gas is already shipped to Egypt, Israel’s energy minister Karine Elharrar hailed the deal as the moment in which Israel — which is expected to double its gas production following the discovery of new offshore gas fields in the past decade — becomes a significant player in the global energy market.
Egypt’s petroleum minister Tarek el-Molla said that the deal will run for three years and can be extended for two more.
The European Commission said it now expects to import 7bcm of LNG from Egypt in 2022, up from an originally expected 5bcm.
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