[The existence of a trillion cubic foot gas field in Gaza will not exactly come as old news to North Americans. Intrepid reporters and all that. On the other hand, it might suggest more plausible explanations of the current seige than a few inept rocket attacks. Gas, eh? Can't let them Hamas fellas win elections with impunity, can we? Next thing you know, they'll be asking for the market price on their gas, the same way the Russians do in Ukraine. -jlt]
Mohammaed Mostafa, also spelled Dr. Mohammad A. Mustafa, is managing director of the Palestine Investment Fund,
Mostafa estimates the size of the coast of Gaza's gas at around one trillion cubic feet, and needs an investment of around 800 million dollars in order for the gas to be extracted and marketed. The expected profit exceeds 4 billion dollars spread over 10 years, half of which will go to the Palestinian Authority, either as ownership rights, taxes, or as the Investment Fund's share as a partner in the project alongside "British Gas" and the Consolidated Contractors Company (CCC).
The managing director of the Investment Fund, Mohammaed Mostafa, has revealed yesterday that Israel is seeking to revive negotiations to buy Palestinian gas, while the Palestinian side and the British Gas company, the main developer of gas from Gaza's beaches, are being cautious in making a decision over this issue until they are certain of Israel's seriousness.
In last December, "British Gas" stopped negotiating with Israel and closed their office in Tel Aviv because of the differing positions of both sides regarding prices, the mechanism of supplying the West Bank and Gaza with gas in order to generate energy, and the mechanism of delivering to the Palestinian Authority's treasury its proceeds from the project.
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For more information on the Gaza Gas Project, see
- Gaza Gas Project: Palestine Investment Fund (PIF), in partnership with the Consolidated Contractors Company (CCC) & British Gas Company (BG), contribute to extracting and utilizing the gas discovered in Gaza sea. This project constitutes a strategic resource for all economic sectors. It contributes to reducing the electricity bill for civilians and industrial institutions. It will also help in setting up side projects that depend on extracted gas in the provision of their services. Certainly, such projects will provide job opportunities for technicians and engineers and will force many of them to return to Palestine to work in these gigantic projects.
- Dr. Mustafa’s Interview with Businessman Journal, June 30, 2006.
- In an exclusive interview with WAFA, Dr. Mohammad Mustafa says: The Palestinian National Authority is the rightful owner of the discovered gas, May 5, 2007.
- In a special interview with Al Quds daily newspaper: Dr. Mohammad Mustafa highlights efforts to promote coordination and cooperation among Palestinian Authority departments on the Gaza gas project, May 7, 2007.
- BG Group says progress made on deal for Israel to purchase Palestinian gas, Ha'aretz and Reuters, May 23, 2007.
- Palestine Investment Fund’s Chief Executive Officer to Al Ayyam: Progress Achieved in Negotiations to Sell Palestinian Gas to Israel, May 24, 2007.
- Hamas says will not block deal to drill for natural gas off Gaza shore, Reuters, June 23, 2007.
- Gideon Eshet, Is monopoly a good thing? YNet, July 7, 2007.
- Avi Bar-Eli, Ya'alon: British Gas natural gas deal in Gaza will finance terror, Ha'aretz, October 21, 2007.
- PNA Official Source: The Success of Gaza Gas Project Will Secure Palestinian Rights, January 1, 2008.
- A PA official source: the success of Gaza Gas Project depends on securing the Palestinian rights, January 3, 2008.
- Dr. Mustafa to Al-Arabiya.net: The Fund Succeeded in Attracting Many Arab and Foreign Investors to Palestine, January 1, 2008.
Translation by Mike Husseini of the American Task Force on Palestine.Recommend this Post