Fears in Algeria of the repercussions of the gas pipeline linking Israel to Europe with funding from Abu Dhabi

Post Site – Agencies

Monday, November 26, 2018 20:14

Israeli media announces Tel Aviv's signature of an agreement described by the historic gas pipeline linking it to Europe, with the support of the European Union and the financing of the Abu Dhabi emirate in Algeria, because it poses a threat to Algerian gas, which finds in Europe one of the most important markets, a time when oil prices fell after Saudi Arabia's decision to evade its obligations in Algeria. Under the Organization of Petroleum Exporting Countries not to increase its oil production and meet the US demand for production, which made the president of the Algerian oil company Sonatrach qualified as unusual prices. The agreement signed by Israel aims to build a gas pipeline in the depths of the sea, at a distance of 2,000 kilometers, making it the world's longest, for the purpose of exporting gas Israel to Europe, which will be done in one way or another at the expense of Algeria.

Economic analyst Abdel Wahab Boukrouh said in a statement to "Al-Quds Al-Arabi" that the decision announced by the Israeli media aimed to compete with Qatari gas in the second class, then the Russian gas and to a lesser extent, because it was addressed to the countries of Eastern Europe and the Balkans. The project is strategically dangerous for Algeria in the long run because once you enter the European market, you end up in a network supplying a gas to half a billion consumers, the current share of the market. Algeria (8%) will decrease further, which will affect revenues from its gas exports. In Completion of three gas pipelines to Europe, two passing through Tunisia and one in Morocco.

Boukrouh explained that such a situation would help consumer countries to push for short-term contracts, while producing countries prefer long-term contracts because gas production is expensive and can not cover production costs. and make a profit margin only through long-term contracts.

Observers estimated that Abu Dhabi funding for this project was intended to harm Qatar. It is remarkable that the latter, which is the main supplier of the United Arab Emirates, refused to cut gas despite the siege.

According to observers, Abu Dhabi funding for this project mainly targets Qatar, which is a major global player in the gas market and a major supplier to the United Arab Emirates. Saad Sharida Al Kaabi, managing director and chief executive officer of Qatar Petroleum, confirmed last year that Qatar has pledged to respect all its international oil and gas contracts and commitments, including with the UAE. United Arab Emirates.

In an interview with Al-Jazeera, Al-Kaabi said that Doha had not cut gas from the UAE because it was an ethics on contracts. He said that "Qatar has not cut gas from the UAE despite the existence of an article exempting it from its contractual obligations to supply gas.

He stressed that "the flow of gas continues until now to take into account the UAE population, and that Qatar does not only deal with contracts, but also with ethics".

The second channel in Israel revealed that she had signed an agreement described by the historic gas pipeline that connects it to Europe, with the support of the European Union and funding from the emirate from Abu Dhabi. The chain said the deal had been reached after two years of negotiations and would be signed by Israel, Greece, Italy and Cyprus.

And provides for the construction of a deep-water pipeline, which will be the longest in the world, of a length of two thousand kilometers, and will allow Israel to export gas to the signatories of the Convention, in the Balkans and in other European countries.

This decision was made by the Israeli Minister of Energy, Yuval Steinians, who presented the proposal to the European Union at a conference held in Abu Dhabi, which approved the proposal and decided to allocate $ 100 million to this initial investment.

The Israeli Minister of Energy: We have complained over the decades of Arab influence in Europe, in terms of oil and gas, gas export to Europe will sap this effect.

"We complained about decades of Arab influence in Europe.In the oil and gas sectors, gas export to Europe will undermine this effect to a certain extent and will constitute a force parallel to the Arab power.

The European countries last year signed a joint declaration with Israel aimed at "strengthening the work to extend the maritime pipeline to the Israeli gas transfer to Europe" within eight years. The energy ministers of Israel, Italy, Cyprus and the European Union participated in the meeting.

He said the gas pipeline, which will be built around 2,000 kilometers, would cost nearly twenty billion shekels (about $ 7 billion), "the longest line of marine natural gas in the world," according to Israeli media reports.

Last May, during a tripartite summit, Mr Netanyahu discussed with the Greek and Cypriot leaders the need to build a regional gas pipeline between Israel and Cyprus, then Greece and Europe, because of the great importance of Israel.

Israeli studies show that the offshore waters between Haifa and Ashkelon contain 2.2 trillion cubic meters of natural gas and are expected to reach 3 billion cubic meters over the next few years.

The Israeli Minister of Culture, Miri Regev, went to the UAE a month ago to head a sports delegation, although she attacked Abu Dhabi there are two years and said: "We will put the major in Abu Dhabi".