Subsidiaries of conglomerate Israel Corp are to buy Egyptian natural gas in a 20-year deal worth between $5 billion and $10 billion that adds to uncertainty over the future of Israel’s own Tamar gas development.

The total quantity covered in the contracts with East Mediterranean Gas (EMG) is 1.4 billion cubic meters (bcm) annually for 20 years with an option to the buyers to increase the amount up to 2.9 bcm annually, one of the shareholders in EMG said.

EMG, which sells Egyptian gas to Israel, competes with gas produced off of Israeli shores in various groups led by Texas-based Noble Energy.

(Source: Reuters)