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Israel Studies Plan for Construction of Canal Or-pipeline to Red Sea

Israel plans for the construction of a canal or a pipeline, in the wake of the seizure of the Suez Canal Company by Egyptian strong man Gamal Abdel Nasser were indicated today by Dr. Walter Eytan, Director General of the Foreign Ministry, at a mass meeting here. He revealed that Israel is studying plans for either of two alternatives-a canal from Elath, on the Red Sea, to Haifa, on the Mediterranean, or a pipeline to link the cities.

Dr. Eytan stressed that the second plan was the more realistic of the two, since it can be completed in less than a year and would be considerably less expensive. He conceded that there were economic and political difficulties in the way of such a project. He noted among these problems the question of who would carry out the work–foreign companies, Israel companies with foreign capital or Israel companies.