Egypt Restarts Gas to Israel at Lower LevelsSource: Ahram Online 1/19/2012, Location: Africa
Egypt resumed pumping natural gas through local and international pipelines in North Sinai after repairing damage caused by a series of attacks, the state-run MENA news agency reported.
Energy industry officials in the Jewish state have confirmed that Egyptian natural gas is being received but at levels far below contractual obligations, MENA added. The Israeli business daily Globes also reported the country's gas supply from Egypt has been restored, although only partially.
The North Sinai pipeline has been blown up 10 times by unknown assailants since Egypt's former president Hosni Mubarak was deposed last February. The last attack took place on 18 December 2011.
According to Israeli officials quoted in Globes, the pipeline attacks may cause up to NIS15 billion ($4 billion) of cumulative damage to the Israeli economy if the gas flow from Egypt is not fully restored by mid-2013. Around that date Israel expects to begin receiving natural gas from the offshore Tamar reserve.
Following news of the resumption, Ampal-American Israel Corp, owner of a stake in a company exporting gas from Egypt to Israel, advanced 3.6 per cent on Tel Aviv's stock exchange.
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