Algeria stops gas supply to Egypt

Algeria stopped gas exporting to Egypt for failing to pay debts as set conditions say prepayment must be done for any charge, according to an international oil Egyptian expert.

• “Algeria’s decision came after Egypt had failed to pay its debts for imported gas. Saudi Arabia made the same decision for the same reason,” Ibrahim Zahrane told Egypt Echorouk newspaper.
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• He believes that the volume of imported butagas to Egypt is equal to exported natural gas to Israel. “It is true that natural gas is different from the butagas but the Egyptian government can provide homes with natural gas instead of exporting it,” he said.
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• According to the expert, the decision to export gas on prepayment basis was adopted, two years ago. It came as Algeria and Saudi Arabia noticed many wrongdoings by the Egyptian government in terms of payment deadlines.
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• This blow to the bilateral economic relations shows the extent of harm Egypt has undergone since its fans attacked Algeria’s football players ahead of a decisive match in Cairo.
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• Previously, Algeria decided to ban 709 Egyptian products from entering the national market. That triggered anger in Egypt which threatened to lodge a complaint to the Arab League.
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• It appears that other new decisions would come to affect the relations between Algeria and Egypt unless they manage to overcome present tension. and