Israel company seeks to invest $200m in gas exports to Egypt

Shareholders in Israel’s Delek Drilling will vote next month on investing $200 million on exporting gas to Egypt via the East Mediterranean Gas (EMG) pipeline.

According to Reuters, a special shareholder meeting will be held on 1 July to decide whether to invest in the pipeline which carried gas from Israel to Egypt’s Sinai Peninsula until 2012. According to the company 75 per cent of shareholders have to support the deal so that it could move forward, without providing any further financial details.

Delek and Texas-based Noble Energy are partners in the Tamar and Leviathan natural gas fields off Israel’s coast. The companies signed deals in February with Egyptian firm Dolphinus Holdings to sell $15 billion of gas for re-export.

Delek and Noble Energy said in a joint statement that the agreements with Dolphinus Holdings covers a period of ten years.

READ: Egyptian companies mull importing gas from Israel