Israel has reached a $34.7 billion deal to supply Egypt with natural gas, Prime Minister Netanyahu confirmed on Wednesday night.
The announcement followed reports earlier this month that the Israeli leader would make his first visit to Cairo since 2011 to secure the agreement, backed by US negotiators.
The visit was reportedly organised by Yechiel Leiter, Israel's US ambassador, who is understood to have taken on the role of Netanyahu's key liaison with Washington and the Arab states following the resignation of Strategic Affairs Minister Ron Dermer.
The deal commits Israeli companies to supplying Egypt with gas over the long term in return for payment across its term.
Around $18 billion of the cash will go into the public purse, with the remainder reserved for the companies involved in the deal.
"The agreement is with the American company Chevron, with Israeli partners who will supply gas to Egypt," said Netanyahu.
"This money will strengthen education, health, infrastructure, security, the future of the coming generations.
"The deal greatly strengthens Israel’s position as a regional energy superpower, and contributes to regional stability."
He also confirmed that he had refused to sign the deal until security concerns, as raised recently by Energy Minister Eli Cohen, had been addressed and said the companies would be required to sell gas to Israelis at a "good price", but did not provide further details.
The announcement represents a significant shift in diplomatic relations between Cairo and Jerusalem, which have been strained since the October 7 attacks.
Per the Times of Israel, Netanyahu’s team is looking to frame his visit and the subsequent agreement as "historic". It is one of several diplomatic breakthroughs Netanyahu hopes to achieve in the run-up to the Israeli elections, according to the report.
The next elections must take place by October of 2026, with the coalition reported to be eyeing a polling date around May.
Referencing the story of Chanukah, Netanyahu added: “We have brought another jug of oil to the nation of Israel.”
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