LONDON, Sept 16 (Reuters) - Chevron ( CVX ) signed a
deal with Israel's state-owned pipeline operator to kickstart
construction of the Nitzana natural gas pipeline to transport
gas from the Leviathan gasfield to Egypt, the U.S. company said
on Tuesday.
Nitzana would ease an energy crisis in Egypt, which has
spent billions of dollars on importing liquefied natural gas and
is part of a concerted effort to boost Israeli gas exports to
the Arab world's most populous nation.
Last month, the owners of the Leviathan natural gas field
off Israel signed a $35 billion export deal to supply gas to
Egypt. Leviathan, owned by NewMed, Chevron ( CVX ) and Ratio
Energies, holds gas reserves of some 600 billion
cubic metres.
The Nitzana pipeline route will transport around 600 million
cubic feet of natural gas per day, once construction finishes in
about three years, Chevron ( CVX ) said, adding this would bring
Israel's total export capacity to Egypt to more than 2.2 billion
cubic feet per day.