Israeli PM Approves 50 Mln Cubic Meters Sale of Water to Jordan

Israeli Prime Minister Naftali Bennett (AP)
Israeli Prime Minister Naftali Bennett (AP)
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Israeli PM Approves 50 Mln Cubic Meters Sale of Water to Jordan

Israeli Prime Minister Naftali Bennett (AP)
Israeli Prime Minister Naftali Bennett (AP)

Israel’s newly-elected Prime Minister Naftali Bennett approved the immediate sale of 50 million cubic meters of water to Jordan, to be followed by another 50 million next year, in a step to improve relations with Amman.

Bennett's spokesman said that Jordan might potentially get the same amount of water for the next five years and the Israeli National Security Council would discuss the matter each year separately.

Political sources in Tel Aviv noted that the Biden administration was active in applying pressure on Israel to agree to Jordan’s request, to improve recently-soured relations between the two countries.

Bennett wanted to put an end to the tense bilateral relations, which Netanyahu is accused of sabotaging.

Israel supplies Jordan with about 55 million cubic meters of water annually, according to the peace agreement signed between the two in 1994. However, Jordan's water needs to be increased significantly after the influx of about three million refugees from Iraq and Syria.

Israel increased the quantities of water according to Jordanian demand, and Jordan paid 40 cents per cubic meter, four times the regular price.

However, political relations between the two countries became tense in 2017, following the tensions in East Jerusalem and al-Aqsa Mosque, which Netanyahu used as a tool of pressure.

The former PM refused Jordan's requests for additional water supplies, and earlier this year, tensions heightened after Israel imposed impossible conditions on the Jordanian Crown Prince's visit to Jerusalem, prompting him to cancel the trip.

Jordan responded by delaying an order to allow Netanyahu's plane to pass over Jordanian airspace, on its way to the UAE. Netanyahu was forced to cancel his trip.

Last April, Netanyahu backed down and agreed to provide Jordan with additional water. But the deal was not completed and was transferred to the new Israeli government.

Bennett approved the additional quantities, saying his approval was based on the position of the professional officials in the Israeli Water Authority, who confirmed that the situation in the Sea of ​​Galilee allowed the request to be met.

He explained that Jordan will pay the full price for the water, and that "this kind gesture will not cost the Israeli taxpayer anything."



Ukraine Threatens to Halt Transit of Russian Oil to Europe

A view of storage tanks and pipelines at the Mero central oil tank farm, which moves crude through the Druzhba oil pipeline, near Nelahozeves, Czech Republic, August 10, 2022. REUTERS/David W Cerny/File Photo
A view of storage tanks and pipelines at the Mero central oil tank farm, which moves crude through the Druzhba oil pipeline, near Nelahozeves, Czech Republic, August 10, 2022. REUTERS/David W Cerny/File Photo
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Ukraine Threatens to Halt Transit of Russian Oil to Europe

A view of storage tanks and pipelines at the Mero central oil tank farm, which moves crude through the Druzhba oil pipeline, near Nelahozeves, Czech Republic, August 10, 2022. REUTERS/David W Cerny/File Photo
A view of storage tanks and pipelines at the Mero central oil tank farm, which moves crude through the Druzhba oil pipeline, near Nelahozeves, Czech Republic, August 10, 2022. REUTERS/David W Cerny/File Photo

A top aide to Ukrainian President Volodymyr Zelensky on Friday said Kyiv would halt the transit of Russian oil across its territory at the end of the year, when the current contract expires and is not renewed.

Mykhailo Podolyak said in an interview with the Novini.Live broadcaster that current transit contracts for Russian supplies that run through the end of the year will not be renewed.

“There is no doubt that it will all end on January 1, 2025,” he said.

Kiev says it is prepared to transport gas from the Central Asian countries or Azerbaijan to Europe, but not from Russia, as it is crucial for Ukraine to deprive Russia of its sources of income from the sale of raw materials after it attacked its neighbor well over two years ago.

The contract for the transit of Russian gas through Ukraine to Europe between the state-owned companies Gazprom and Naftogaz ends on December 31.

Despite the launch of Russia's full-scale invasion of Ukraine in February 2022, the Ukrainians have fulfilled the contract terms - in part at the insistence of its European neighbors, especially Hungary.

But the leadership in Kiev has repeatedly made it clear that it wants the shipments to end.

Meanwhile, the Czech Republic energy security envoy Vaclav Bartuska said on Friday that any potential halt in oil supplies via the Druzhba pipeline through Ukraine from Russia from next year would not be a problem for the country.

Responding to a Reuters question – on comments by Ukrainian presidential aide Mykhailo Podolyak that flows of Russian oil may stop from January – Bartuska said Ukraine had also in the past warned of a potential halt.

“This is not the first time, this time maybe they mean it seriously – we shall see,” Bartuska said in a text message. “For the Czech Republic, it is not a problem.”

To end partial dependency on the Druzhba pipeline, Czech state-owned pipeline operator MERO has been investing in raising the capacity of the TAL pipeline from Italy to Germany, which connects to the IKL pipeline supplying the Czech Republic.

From next year, the increased capacity would be sufficient for the total needs of the country’s two refineries, owned by Poland’s Orlen, of up to 8 million tons of crude per year.

MERO has said it planned to achieve the country’s independence from Russian oil from the start of 2025, although the TAL upgrade would be finished by June 2025.

On Friday, oil prices stabilized, heading for a weekly increase, as disruptions in Libyan production and Iraq’s plans to curb output raised concerns about supply.

Meanwhile, data showing that the US economy grew faster than initially estimated eased recession fears.

However, signs of weakening demand, particularly in China, capped gains.

Brent crude futures for October delivery, which expire on Friday, fell by 7 cents, or 0.09%, to $79.87 per barrel. The more actively traded November contract rose 5 cents, or 0.06%, to $78.87.

US West Texas Intermediate (WTI) crude futures added 6 cents, or 0.08%, to $75.97 per barrel.

The day before, both benchmarks had risen by more than $1, and so far this week, they have gained 1.1% and 1.6%, respectively.

Additionally, a drop in Libyan exports and the prospect of lower Iraqi crude production in September are expected to help keep the oil market undersupplied.

Over half of Libya’s oil production, around 700,000 barrels per day (bpd), was halted on Thursday, and exports were suspended at several ports due to a standoff between rival political factions.

Elsewhere, Iraq plans to reduce oil output in September as part of a plan to compensate for producing over the quota agreed with the Organization of the Petroleum Exporting Countries and its allies, a source with direct knowledge of the matter told Reuters on Thursday.

Iraq, which produced 4.25 million bpd in July, will cut output to between 3.85 million and 3.9 million bpd next month, the source said.