Daijiworld Media Network – Tel Aviv
Tel Aviv, Dec 19: Israeli Prime Minister Benjamin Netanyahu on Wednesday announced a massive $35 billion natural gas agreement with Egypt, calling it the largest gas deal in Israel’s history, as the United States intensifies efforts to facilitate a summit between the two regional leaders.
In a televised address, Netanyahu said the deal is valued at 112 billion shekels (approximately $34.6 billion) and involves American energy giant Chevron. Under the agreement, Israeli natural gas will be supplied to Egypt.
“This deal significantly strengthens Israel’s position as a regional energy power and contributes to stability in the region. It will also encourage further investment in gas exploration in Israel’s economic waters,” Netanyahu said.
According to an Israeli source familiar with the development, official approval of the deal had been delayed for several months before Israel eventually cleared it under pressure from the Trump administration.
US President Donald Trump has been working to arrange a meeting between Netanyahu and Egyptian President Abdel Fattah el-Sisi as part of his broader efforts to advance regional peace initiatives and expand the Abraham Accords.
Egypt, however, has maintained that the agreement is purely commercial in nature. Diaa Rashwan, chairman of Egypt’s State Information Service, said the gas deal was concluded solely on economic and investment considerations and carried no political implications.
“The agreement does not involve any political dimensions or understandings whatsoever,” Rashwan said in a statement on Thursday. He added that the deal aligns with Egypt’s strategic objective of strengthening its role as a major regional gas trading hub in the Eastern Mediterranean.
Rashwan also reiterated Egypt’s firm stance on the Palestinian issue, affirming continued support for the legitimate rights of the Palestinian people.
Israel and Egypt signed a historic peace treaty in 1979, though the leaders of the two countries have not met publicly in nearly a decade. Another Israeli source said Netanyahu’s announcement was aimed at creating momentum for a possible meeting with President Sisi.
Netanyahu is scheduled to travel to the United States later this month to meet President Trump at his Mar-a-Lago residence. He was earlier expected to attend a peace summit in Sharm el-Sheikh in October but withdrew at the last moment.
Egypt has been a key mediator in the ongoing Gaza conflict, though ties between Netanyahu and Sisi have remained strained for several years.