DayofPal— Israel’s Leviathan natural gas field has finalized the largest export deal in the country’s history, agreeing to supply natural gas to Egypt’s NewMed in a contract valued at up to $35 billion.
The agreement comes amid ongoing international outcry over Israel’s military campaign in Gaza, which has killed over 60,000 Palestinians and left the population facing starvation due to an Israeli-imposed blockade on humanitarian aid.
According to Reuters, which cited one of the field’s partners, the deal was officially announced on Thursday.
Under the terms of the agreement, Leviathan, located off Israel’s Mediterranean coast and holding an estimated 600 billion cubic meters of reserves, will supply approximately 130 bcm (billion cubic meters) of natural gas to Egypt through 2040, or until all contracted volumes are delivered.
Export operations from Leviathan had been temporarily halted during Israel’s 12-day military assault on Iran in June due to security concerns, but have since resumed, Reuters reported.
NewMed CEO Yossi Abu hailed the deal, emphasizing its economic significance for Egypt. “It’s much, much, much, much better, like dramatically better, than any LNG alternative, and it will save billions of dollars to the Egyptian economy,” he told Reuters.
Egypt’s Ministry of Petroleum, which manages the country’s energy imports, has not issued a comment on the deal.
As part of the first phase of the agreement, Leviathan will deliver 20 bcm of gas to Egypt starting in early 2026, following the completion of new pipeline connections. Israeli gas currently accounts for approximately 15–20% of Egypt’s total energy consumption, according to data from the Joint Organisations Data Initiative.
The timing of the announcement has drawn criticism due to the ongoing humanitarian crisis in Gaza. Since October 2024, Israel’s offensive has led to widespread destruction and loss of life, while aid agencies warn that conditions in the territory have reached catastrophic levels.
A blockade imposed since March 2 has severely restricted humanitarian access, exacerbating the crisis.
International protests have erupted over Egypt’s perceived role in the siege. Demonstrators in countries including Sweden, Ireland, the UK, Spain, Finland, South Africa, Libya, and Turkey have demanded that Egypt open the Rafah crossing to facilitate the delivery of aid into Gaza.
Responding to the accusations, Egypt’s Ministry of Foreign Affairs issued a statement condemning what it called a “malicious propaganda campaign,” and maintained that “Rafah has remained open from the Egyptian side. Israeli forces control the Palestinian side and block access.”
Egyptian President Abdel Fattah El-Sisi has publicly condemned Israel’s actions in Gaza, accusing it of perpetrating a “systematic genocide.” Speaking at a press conference in Cairo, Sisi said the war had gone “beyond political aims.”
Despite the war, trade between Egypt and Israel has seen significant growth. According to Israel’s Central Bureau of Statistics, Egyptian exports to Israel doubled in 2024 compared to the previous year.
The normalization Institute reported a 56% rise in bilateral trade in 2023, with a 168% year-on-year increase in the fourth quarter alone.
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