Egypt’s appeal over the dispute with the Eastern Mediterranean Gas (EMG) and the Israel Electric Corporation (IEC) will be based on a lack of jurisdiction by the International Chamber of Commerce (ICC), according to former EGAS Chairman, Mohamed Shoeb, Ahram Online reports.
The ICC ruled against EGAS last week, ordering the company to repay IEC and EMG more than $2b in damages over halted gas shipments. According to Shoeb, the contract between the parties gave arbitration power to the Cairo Regional Center for International Commercial Arbitration, meaning that the ICC did not have the jurisdiction to issue such a ruling.
There are also reports that a formal appeal may not be necessary, as the two sides may reach a negotiated settlement. Daily News Egypt reports that the Israeli need to use Egyptian gas facilities for exports will lead all parties to come to a negotiated agreement, after which the relationship is likely to resume.