Egypt resumes natgas supplies to Israel -Ampal
TEL AVIV |
TEL AVIV Nov 20 (Reuters) - Supplies of natural gas from Egypt to Israel, which were halted on Nov. 10 after saboteurs blew up a Sinai pipeline, have resumed, a shareholder in the consortium that exports the gas to Israel said on Sunday.
Ampal-American Israel Corp said "it was advised by East Mediterranean Gas Co, in which Ampal has a 12.5 percent interest, that gas supply to EMG, and subsequently to EMG's Israeli customers, which was interrupted on Nov. 10, 2011, has resumed yesterday".
Saboteurs blew up the Sinai pipeline in the sixth such attack since the overthrow of President Hosni Mubarak. Pumping had only resumed on Oct. 24 after repairs from a previous attack.
Egypt's 20-year gas deal with Israel, signed in the Mubarak era, is unpopular with the Egyptian public, with critics arguing that the Jewish state was not paying enough for the gas.
An EMG board member said in July that shareholders in the firm were pursuing legal claims against Egypt for $8 billion in damages from contract violations in gas supplies.
The gas disruptions have cost state-owned Israel Electric Corp, which has had to switch to more expensive fuel to generate electricity and subsequently increased electricity rates.
EMG is also 12.5 percent owned by Israel's Merhav. Other stakeholders include Egyptian businessman Hussain Salem, the Egypt Natural Gas Co, Thailand's PTT and U.S. businessman Sam Zell. (Reporting by Tova Cohen; Editing by Paul Tait)
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