The state-run Egyptian National Gas Holding Company (EGAS) confirmed that prices for Egyptian natural gas exports to Israel were both “in accordance with global price levels” and “economically feasible,” denying reports of recent price reductions.

“The quantities exported to Israel are very little compared to our total production,” insisted EGAS Chairman Mahmoud Latif.

Latif cited three conditions that go into determining gas export prices: “Prices should be higher than the cost of production; higher than local market prices; and in accordance with global prices,” he said.

“Our gas exports finance government economic development projects,” he noted.

Latif went on to stress that Egypt’s gas exports had nothing to do with the recent spate of power cuts that have occurred throughout the country. “We provide, and will provide, needed quantities of energy for all existing and future power stations,” he said.

(Source: al-masry al-youm)