Egypt seeks new gas deals as tensions with Israel grow

Egypt is currently reassessing its energy strategy in response to escalating diplomatic strains with Israel, according to Moroccan government-friendly Atalayar, reported on May 22nd.

The conflict in Gaza has significantly worsened relations between the two nations, disrupting what was previously a steady partnership in natural gas.

To lessen its reliance on Israeli gas, Egypt has started seeking alternative sources. Recently, it has intensified talks with nations including Russia, Qatar, and Turkey to secure fuel for its power generation needs.


Egypt is reportedly in discussions with Russia to build liquefied natural gas (LNG) terminals within its borders, according to official sources. In a notable development, Cairo has also finalised a unique deal with Turkey that will see the arrival of a Turkish vessel equipped for LNG reception, storage, and regasification, boosting Egypt’s ability to support its domestic energy grid.

Qatar has also returned to the spotlight as an important energy ally. Egyptian Oil Minister Karim Badawi recently travelled to Doha to explore potential collaborations on natural gas initiatives, signalling a shift in relations after gas imports from Qatar were halted in 2013. While the financial terms remain undisclosed, the discussions suggest long-term contracts aimed at ensuring future energy stability.

Egypt’s shift in energy policy comes amid growing domestic gas shortages. Egypt’s natural gas production declined from 4.6 billion cubic meters in January 2024 to 3.3 billion cubic meters by February 2025—marking the lowest level recorded since April 2016, according to data from the Joint Organisations Data Initiative.

Diplomatic strains have begun to manifest in tangible ways. In response to Israel’s military campaign in Gaza and the incursion into Rafah, a city of key security concern for Egypt, Cairo has declined to appoint a new ambassador to Tel Aviv.

Nonetheless, Egyptian diplomatic staff remain active in Tel Aviv, without senior-level leadership, according to Yedioth Ahronoth, an Israeli news outlet.

For years, energy, particularly natural gas, has been a central pillar of cooperation between Egypt and Israel. This partnership was solidified in 2020, when gas began flowing from Israel’s Leviathan and Tamar offshore fields in the eastern Mediterranean to Egypt.

Atalayar/ Maghrebi.org/ Reuters/ The Times of Israel