Israel and Egypt have entered into an ‘historic’ $15 billion deal for natural gas, Prime Minister Benjamin Netanyahu said in a statement on Monday.”This will bring billions of dollars to state coffers,” he said announcing the most significant deal with Egypt since it became the first Arab country to sign a peace treaty with Israel.  The deal comes in the wake of an escalating territorial dispute between Lebanon and Israel over energy reserves off their coasts.

Israeli energy group Delek Drilling LP said that it had signed agreements with its associate Noble Energy of the United States to supply 2.26 trillion cubic feet (64 billion cubic meters) of gas from Israel’s Leviathan and Tamar offshore fields to the Egyptian firm Dolphinus over a 10-year period.Meanwhile, the Egyptian response was more muted with the Ministry of Petroleum Spokesman Hamdi Abdulaziz saying it has “no comment on any negotiations or agreements concerning the private sector companies on the import or sale of natural gas,” though they are subject to industry regulations. READ MORE