Egypt’s state-owned gas company EGAS is expected to sign an agreement with the Palestinian Authority to develop Gaza’s offshore natural gas field within five days, an official told Bloomberg Asharq on Wednesday.
According to Zafer Milhem – chairman of the Palestinian Energy and Natural Resources Authority, the Egyptian EGAS will sign the agreement for the development of the Gaza Marine field, about 30 km (20 miles) off the Gaza coast.
Gaza Marine field has remained undeveloped due to political disputes and violent tensions with Israel, as well as economic factors. It is estimated to hold over 1 trillion cubic feet of natural gas, much more than is needed to power the Palestinian territories and some of which could potentially be exported abroad.
The Egyptian ministry of oil and EGAS did not immediately respond to a request for comment.
Neither an Israeli partner or an operator will be a party in the process of extracting natural gas from Gaza Marine field, Milhem said.
Earlier on June 18, Israeli authorities gave preliminary approval for the development of Gaza Marine field while saying it would require security coordination with the Palestinian Authority and neighbouring Egypt.
