The energy ministers of Israel and Egypt toured the Sinai oilfields together today in what, from all accounts, was a friendly, productive meeting on matters relating to the return of the last of the oilfields to Egypt. Energy Minister Yitzhak Modai, of Israel, was reportedly assured by his Egyptian counterpart, Ahmed Ezzeddin Hilal, that Egypt will honor its commitment to supply Israel with Sinai oil under terms of the peace treaty.
The two-ministers agreed to set up a joint committee of Israeli and Egyptian oil experts to convene in Tel Aviv in about a week on technical matters. Modai and his aides flew to the Abu Rodeis oilfields in western Sinai this morning to meet with Hilal. After a short chat, the two men flew to the Alma oilfields at A-Tur on the Gulf of Suez. Israel returned Rodeis to the Egyptians in 1975 under the Sinai II interim agreement. It is to turn over the A-Tur fields in seven months. They yield about 30,000 barrels of oil a day.
Hilal appeared satisfied with the Israeli installations at A-Tur and the equipment there. While at the site, they announced the creation of the joint committee. Among other things it will discuss the future status of the Neptun Co. which discovered the A-Tur oil and operates the field. Another matter will be compensation to Israel for whatever equipment is left behind for Egypt and the manner in which the oilfields will be transferred to the Egyptians.
Modai said later that there were good chances that all of the problems will be solved to the satisfaction of bath sides. Hilal, asked about the decision today by the Organization of Arab Petroleum Exporting Countries to suspend Egypt, replied that the fact the fact that Egypt is negotiating with Israel should indicate that it will not be deterred by threats. Egypt’s imports of Arab oil products amount to only six percent of its needs.
Hilal said that in any case, Egypt will carry out its obligation to supply Israel with oil. As for the future, he said Israeli companies will be able to bid for Egyptian oil on the same terms as any other companies in the world.
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
