Register

Peak Oil is You


Donate Bitcoins ;-) or Paypal :-)


Page added on October 21, 2020

Bookmark and Share

Israel and UAE Eye Pipeline Linking Red and Med Seas

Israel and UAE Eye Pipeline Linking Red and Med Seas thumbnail

Israel and the United Arab Emirates have opened talks over an oil pipeline linking the Red Sea with the Mediterranean and whose operations Israeli officials treat as top secret.

Europe Asia Pipeline Co., controlled by Israel’s government, and UAE-based MED-RED Land Bridge Ltd. signed a memorandum of understanding to collaborate on the transportation of crude and oil products between the Persian Gulf and Western markets, according to an EAPC statement on Tuesday.

The agreement comes after the UAE, OPEC’s third-biggest oil producer, and Israel announced in August they would normalize ties. The two have since discussed establishing embassies, starting direct flights and business deals.

EAPC operates the Eilat-Ashkelon pipeline, built by Israel and Iran in the 1960s. It has a capacity of 600,000 barrels a day and almost 23 million barrels of storage space. Most oil sent from the Gulf to Europe is either shipped through the Suez Canal or via Egypt’s Sumed pipeline, which can pump 2.5 million barrels daily.

The Eilat Ashkelon Pipeline Co. Ltd., as EAPC used to be called, was jointly owned by the Jewish state and Iran’s government. It was used to move Tehran’s crude into European markets.

After Iran’s Islamic Revolution in 1979, the nations became enemies. Yet for some years Israel still allowed Iranian oil to be shipped through the pipeline in secret, including by Glencore founder and sanctions-busting commodities trader Marc Rich.

The two countries have squabbled over the pipeline more recently, with Tehran wanting compensation after Israel took over its 50% stake. Even today, information on what flows through the pipeline can be censored by Israel’s military.

Tuesday’s agreement, the financial details of which weren’t disclosed, will also allow traders to transport oil from the Mediterranean and Black Sea regions to Asia, EAPC said. MED-RED Land Bridge is a consortium of UAE and Israeli companies.

RIGZONE



3 Comments on "Israel and UAE Eye Pipeline Linking Red and Med Seas"

  1. makati1 on Wed, 21st Oct 2020 4:15 pm 

    This pipeline has been a big part of the “wars” in the ME and will not likely ever be used for long. If a real war breaks out there, pipelines and FF fields will be major targets. Cut off the energy and you cut off the war. Ask Hitler. LOL

  2. makati1 on Wed, 21st Oct 2020 5:33 pm 

    21st Oct 2020 4:15 pm was my last post. All others are fake bullshit. Now, I am off to the market. Later!

  3. makati1 on Wed, 21st Oct 2020 5:36 pm 

    21st Oct 2020 6:15 pm was my last post. All others are fake bullshit. Now, I am off to the market. Later!

Leave a Reply

Your email address will not be published. Required fields are marked *