Egyptian General Petroleum Corp. and Egyptian Natural Gas Holding Co. filed a request for arbitration against East Mediterranean Gas Co. over a deal to supply natural gas to Israel, EGPC's chairman said.

International shareholders in East Mediterranean Gas (EMG), the company that oversaw the now defunct Egyptian-Israeli natural gas deal, said on Thursday they were suing the government of Egypt for violating three bilateral investment treaties.

Egyptian energy companies, citing a trade dispute, have terminated a deal to supply Israel with natural gas in a step that may further erode bilateral ties strained by a popular revolt that toppled Egypt's pro-Israeli leader last year.

Egypt is reviewing the timetable for resuming gas exports to Israel and wants to negotiate more flexible contracts with foreign gas buyers, the Egyptian oil minister said.

Egypt's Minister of Petroleum, Abdallah Ghorab, has highlighted a difficulty in the negotiations due to start within days to amend the prices for the country's natural gas exports to Israel.

Egypt's prime minister has asked for the revision off all contracts to supply gas abroad, including to Israel, the official news agency MENA reported.

Egyptian Minister of Electricity and Energy, Dr. Hassan Younis has allocated $ 1.7 billion (EGP 10 billion) to generate an additional 2,680 megawatts of electricity to meet high summer demand.

East Mediterranean Gas (EMG), which supplies Egyptian natural gas to Israel and other Middle East countries, does not see any justification for amending the terms of its contract with the Egyptian government to negotiate a higher price, said an EMG stakeholder.

The supply of natural gas from Egypt to Israel has resumed after a number of delays, said an Israeli partner in the East Mediterranean Gas (EMG) consortium.

Ampal-American Israel Corporation, which holds 12.5 per cent of the East Mediterranean Gas Company (EMG) that owns the pipeline, said the initial supply would be less than normal but would be ramped up 'on a daily basis' to reach the full supply.