Israeli-Egyptian gas deal nearing collapse.
According to the Al-Arabi Al-Jadeed website, one of the largest contracts for the export of natural gas from the Zionist regime to Egypt is now on the verge of collapse. The value of this contract is about 35 billion dollars, and its goal is to transfer more than 130 billion cubic meters of gas to Egypt by 2040. and it has now become a tool for political pressure on the cabinet of Benjamin Netanyahu.
The extremist factions in the occupied Palestinian territories believe that the continuation of gas exports to Egypt is a way to strengthen Cairo’s economy, and this is an obstacle to their plans to put pressure on Gaza and prevent any obstacles in the way of threats related to the forced displacement of Gaza residents. These movements are also concerned that in the future the price of gas will not be fair for “Israel”.
According to the aforementioned contract, Israel was supposed to export about 1.8 billion cubic feet of gas per day, but it has now entered a complex political and technical impasse in the occupied territories. According to sources in the Egyptian Ministry of Oil, the amount of gas currently imported from Israel is between 850 million and 1 billion cubic feet per day. This volume is based on the 2019 agreement, which came into effect in 2020. However, the Israeli regime has not fulfilled the new commitments set out in the July 2025 amendment to the agreement, which included a gradual increase in exports to reach 1.8 to 2 billion cubic feet in 2026.
According to the report, the Israeli regime initially attributed the shortage to technical problems and announced that the problem would be resolved by October; but it later became clear that Netanyahu’s cabinet and some Knesset (Israeli parliament) committees intend to suspend the implementation of the new phase of the agreement due to political differences with Egypt over the situation in Gaza and the presence of the Egyptian army in Sinai, and even want to renegotiate future gas prices.