Netanyahu halts major gas deal with Egypt over alleged peace treaty violations
Egypt seems to have been caught in Netanyahu’s political bargaining trap due to its urgent need for energy supplies.
Israeli PM Benjamin Netanyahu. Photo: flickr
Israeli Prime Minister Benjamin Netanyahu has ordered that a multi-billion dollar gas deal with Egypt be halted over allegations that the Arab country has violated the 1979 Camp David peace treaty with Israel. The news was reported by Israeli daily Israel Hayom on Tuesday, September 2.
In early August, Cairo signed a USD 35 billion deal, considered the largest gas export agreement in the Israeli occupation’s history, with Ratio Energy and NewMed Energy, partners of Israel’s offshore Leviathan natural gas field.
The Israeli newspaper claimed that the Israeli premier issued the order to suspend the deal after reports revealed the deployment of 40,000 Egyptian troops in the Sinai Peninsula near the border with Gaza two weeks ago.
Reports indicate that Egypt may have reinforced its military presence in the area due to growing concerns that Israel will displace Palestinians to North Sinai as part of its plan to occupy Gaza.
Israel considered Egypt’s military reinforcement in Sinai a violation because the soldiers, who are said to be currently deployed there, double the number of the troops allowed to be present in the area as per the treaty.
Israel Hayom pointed out that Netanyahu will discuss the possibility of proceeding with the deal with the Israeli energy minister and security cabinet member, Eli Cohen, before making a final decision. The conversation is expected to involve demanding “guarantees” from Egypt.
Observers suggest that Israel has exploited Egypt’s urgent need for energy supplies, and therefore weaponized the deal against Cairo for political gains.
