First Visit by Egyptian Minister to Israel in 5 Years

Egypt’s Minister of Petroleum and Mineral Resources Tarek El Molla meets Israeli PM Netanyahu. (Israeli PM’s office)
Egypt’s Minister of Petroleum and Mineral Resources Tarek El Molla meets Israeli PM Netanyahu. (Israeli PM’s office)
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First Visit by Egyptian Minister to Israel in 5 Years

Egypt’s Minister of Petroleum and Mineral Resources Tarek El Molla meets Israeli PM Netanyahu. (Israeli PM’s office)
Egypt’s Minister of Petroleum and Mineral Resources Tarek El Molla meets Israeli PM Netanyahu. (Israeli PM’s office)

Tel Aviv and Cairo have agreed to expand cooperation in the energy field.

The announcement was made during a visit by Egypt’s Minister of Petroleum and Mineral Resources Tarek El Molla to Israel on Sunday.

The Egyptian minister’s visit marked the first public visit to Israel by a senior Egyptian government official in five years.

“This is an important day, marking our continued cooperation on energy and so many other things,” said Israeli Prime Minister Benjamin Netanyahu upon receiving Molla.

“This began of course with the historic peace treaty between Egypt and Israel but is turning into something that can economically improve people’s lives.”

“We think that this is a great opportunity for regional cooperation among Egypt, Israel and the other countries,” he added.

“We are an energy hub. Together we can supply not only our own needs, but the needs of many other countries. So it is in this spirit of friendship and cooperation and peace and prosperity that I welcome you to Israel,” Netanyahu noted.

The meeting between Netanyahu and Molla was attended by Energy Minister Yuval Steinitz, National Security Adviser Meir Ben-Shabbat, Israel’s envoy to Egypt Amira Oron, Egyptian envoy to Israel Khaled Azmi, and Magdy Galal, chair of the state-owned Egyptian Natural Gas Holding Company, which manages Egyptian state shares in gas projects.

Steinitz welcomed his guest and said he was “happy and excited” to host Molla, the first Egyptian minister to visit Israel since 2016.

Molla’s visit focused on extending a pipeline linking Israel to the Sinai Peninsula in Egypt, in addition to developing gas fields and cooperation in gas exploration, and promoting the Eastern Mediterranean Gas Forum (EMGF).

Egypt, Israel, Greece, Cyprus, Italy, Jordan and the Palestinian Authority established the EMGF as an intergovernmental organization in September 2020. In December, the United Arab Emirates joined the Forum as an observer.

Egypt has been seeking to transform itself into a regional energy hub through the forum, which aims to establish a regional gas market, rationalize the cost of infrastructure and offer competitive prices.

Egypt began importing Israeli gas in early 2020, for possible re-export to Europe or Asia.

The 2015 discovery of the giant offshore Zohr field had unlocked interest in Egypt’s energy market and encouraged Cairo to promote itself as a regional hub.

Molla also signed a memorandum of understanding for Egypt to help develop the Gaza Marine field with the project’s two partners, the Palestine Investment Fund (PIF), the sovereign fund of the Palestinian Authority, and Consolidated Contractors Company.

They agreed to cooperate on developing the field and the necessary infrastructure that would provide Palestine’s needs of natural gas with the possibility of exporting part of it to Egypt.

The MoU was signed by Magdy Galal and advisor to the Palestinian President for Economic Affairs and Chairman of the PIF Board of Directors Mohamed Mustafa.



Oil Set for Weekly Gains on Colder Weather, Chinese Policy Support

A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo
A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo
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Oil Set for Weekly Gains on Colder Weather, Chinese Policy Support

A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo
A pumpjack brings oil to the surface in the Monterey Shale, California, US April 29, 2013. REUTERS/Lucy Nicholson/File Photo

Oil prices held steady on Friday, remaining poised for weekly gains after closing the previous session at their highest in more than two months, underpinned by colder European and US weather and additional economic stimulus flagged by China.

Brent crude futures were down 9 cents at $75.84 a barrel by 1212 GMT after settling on Thursday at the highest level since Oct. 25. US West Texas Intermediate crude dipped by 6 cents to $73.07, with Thursday's close its highest since Oct. 14.

Brent was on track for a 2.2% weekly gain while WTI was set for a 3.5% increase, Reuters reported.

Signs of Chinese economic fragility heightened expectations of policy measures to boost growth in the world’s top oil importer.

"As China's economic trajectory is poised to play a pivotal role in 2025, hopes are pinned on government stimulus measures to drive increased consumption and bolster oil demand growth in the months ahead," said StoneX analyst Alex Hodes.

China announced a couple of new measures to boost growth for its fragile economy this week with a surprise move to raise wages for government workers and announcement of a sharp increase in funding from ultra-long treasury bonds. The additional funding is to be used to spur business investment and consumer-boosting initiatives.

Oil is likely to have gained some price support from expected increased demand for heating oil after forecasts for colder weather in some regions.

"Oil demand is likely benefiting from cold temperatures across Europe and the US," said UBS analyst Giovanni Staunovo.

Also supporting prices this week, US crude stockpiles dropped by 1.2 million barrels to 415.6 million barrels, EIA data showed.

Meanwhile, US gasoline and distillate inventories jumped as refineries ramped up output, though fuel demand hit a two-year low.