Jerusalem24 -Ad – The consortium of companies holding a license to develop the Palestinian gas field off the coast of the southern governorate “Gaza Marine”, consisting of the Palestine Investment Fund and the Consolidated Contractors Company for Oil and Gas (CCCOG), welcomed the Palestinian government’s decision to approve the framework agreement that was signed beginning November to enter and be part of the Egyptian consortium led by the Egyptian Holding Company For Gases (EGAS) as a partner in the Development Coalition, expressing its thanks and appreciation to the Palestinian government for its efforts in following up on this vital file by forming a ministerial committee for this purpose, which submitted its recommendations to the Council of Ministers.
The framework agreement includes the main principles for entering the Egyptian consortium as a partner in the development coalition, and the elements of the initial technical and financial plan for the development of the field by the coalition of Palestinian and Egyptian companies as a cross-border project between the State of Palestine and the sisterly Arab Republic of Egypt with the aim of extracting gas from the field located in Palestinian waters and transferring and treating it in the Sinai region In the Republic of Egypt, and the readiness of EGAS to purchase the produced gas to ensure economic feasibility and provide the necessary financing for the development of the project and at the same time to enter into agreements with Palestinian electricity generating companies in the West Bank and Gaza for the supply of natural gas.
The agreement also confirms the commitment of the Development Coalition to pay the revenues due to the State of Palestine under the license agreement, and that the governments of the two countries conclude a bilateral agreement between the two sister countries to facilitate the development process and coordinate the regulatory and tax aspects.
The Cabinet’s approval of the framework agreement paves the way for completing the development of the detailed engineering, technical, financial, and legal elements necessary to complete the final agreement, which will be presented to the Cabinet.
The coalition of developers licensed to develop the “Gaza Marine” field expressed its deep appreciation for the support of the Palestinian leadership, represented by President Mahmoud Abbas, and the Egyptian leadership, represented by the President of the Arab Republic of Egypt, Abdel Fattah El-Sisi, and the Palestinian and Egyptian governments for these discussions and their outcomes, and the vigorous follow-up in order to facilitate the work of the parties. The concerned parties in order to succeed in developing the “Gaza Marine” gas field, which will contribute to strengthening Palestinian national independence and dependence on national resources in the energy sector.