Israel approves Tamar gas sales to Egypt

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Israel’s government approves the start of exporting natural gas to Egypt, signaling a potential improvement in relations between two countries which have been at loggerheads over energy supplies. The approval applies to a contract signed in March between the Tamar reservoir partners and the Egyptian company Dolphinus Holdings, a consortium that serves non-government consumers.

Israel will be able to sell 5B cm of gas to Egypt in the coming seven years from the Tamar site off its Mediterranean coast, Energy Minister Steinitz says. Tamar, with estimated reserves of 280B cm, is owned by Noble Energy as well Delek Group units Delek Drilling and Avner Oil. The contract is estimated to be worth more than $1 billion.

The approval was the second time the government has approved gas exports, following the approval in April of exports to a Jordanian company.

Source: News Agencies