Monday, September 07, 2020

  • Monday, September 07, 2020
  • Elder of Ziyon


Around 1959,  Israel and Iran built gas and oil pipelines from the Red Sea at Eilat to the Mediterranean Sea at Ashkelon, Ashdod and Haifa ports. Known at the time as the Eilat-Ashkelon Pipeline Company, it was mostly used as an alternative for shipping oil from Shah-era Iran to Europe, bypassing the Suez Canal which Egypt's Gamal Abdel Nasser could arbitrarily restrict.

When Iran severed ties with Israel during the 1979 Iranian Revolution, it stopped this arrangement of sending oil through Israel on to Europe. 

The pipeline is still in use, fully owned by Israel and under a new company name - the Europe Asia Pipeline Co. Parts of it are bidirectional and oil from Azerbaijan and Kazakhstan is being sent to tankers in Eilat for transport to China, South Korea and other Asian countries.

For Gulf countries like the UAE, peace with Israel could save them huge amounts of money now spent for shipping through the Suez Canal. Supertankers that can dock in Israeli ports have a capacity of double the size of oil tankers that can fit through the Canal, saving hundreds of thousands of dollars per shipment to Europe and North America. Right now this is very difficult because of the Arab boycott - any company that publicly used Israel for oil transport would be banned from business in the Gulf so existing users keep a very low profile and the EAPC's financial records are considered a military secret by Israel. 

The current pipeline is 42 inches for crude oil, with a parallel 16 inch pipeline for gasoline or diesel. 

The UAE ending its Israel boycott opens up billions of dollars of business to send oil through Israel to the Mediterranean and to make Israel a major energy transportation hub.

There is an interesting wrinkle to the story of the EAPC. At the time of the Iranian resolution, there were hundreds of millions of dollars worth of oil that were already in Israel that hadn't been paid for, and Iran and Israel have been suing each other for the past 25 years in international courts for the lost business. In 2015, Iranian media reported that a Swiss court had ruled that Israel owed $1.1 billion to Iran, but Israel has shown no interest in actually paying especially in light of its countersuits. Perhaps in response to the UAE deal, Iran is again requesting payment of the alleged $1.1 billion from Israel. Iran has little recourse to force Israel to pay to its sworn enemy, however. 

(h/t Yoel)



We have lots of ideas, but we need more resources to be even more effective. Please donate today to help get the message out and to help defend Israel.

Printfriendly

EoZTV Podcast

Podcast URL

Subscribe in podnovaSubscribe with FeedlyAdd to netvibes
addtomyyahoo4Subscribe with SubToMe

Support EoZ by shopping!

search eoz

comments

Speaking

follow me

Follow by Email

translate

Share on Whatsapp


E-Book

For $18 donation








Sample Text

EoZ's Most Popular Posts in recent years

Hasbys!

Elder of Ziyon - حـكـيـم صـهـيـون



This blog may be a labor of love for me, but it takes a lot of effort, time and money. For over 14 years and 30,000 articles I have been providing accurate, original news that would have remained unnoticed. I've written hundreds of scoops and sometimes my reporting ends up making a real difference. I appreciate any donations you can give to keep this blog going.

Donate!

Donate to fight for Israel!

Monthly subscription:
Payment options


One time donation:

subscribe via email

Follow EoZ on Twitter!

Interesting Blogs

Categories

#PayForSlay Abbas liar Academic fraud administrivia al-Qaeda algeria Alice Walker American Jews AmericanZionism Amnesty analysis anti-semitism anti-Zionism antisemitism apartheid Arab antisemitism arab refugees Arafat archaeology Ari Fuld art ASHREI B'tselem bahrain Balfour bbc BDS BDSFail Bedouin Beitunia beoz Bernie Sanders Birthright book review Brant Rosen breaking the silence Campus antisemitism Cardozo cart carto cartoon of the day Chakindas Chanukah Christians circumcision Clark Kent coexistence Community Standards conspiracy theories Cyprus Daled Amos Daphne Anson David Applebaum Davis report DCI-P Divest This double standards Egypt Elder gets results ElderToons Electronic Intifada Embassy EoZ Trump symposium eoz-symposium EoZNews eoztv Erekat Erekat lung transplant EU Euro-Mid Observer European antisemitism Facebook Facebook jail Fake Civilians 2014 Fake Civilians 2019 Farrakhan Fatah featured Features fisking flotilla Forest Rain Forward free gaza freedom of press palestinian style future martyr Gary Spedding gaza Gaza Platform George Galloway George Soros German Jewry gideon levy gilad shalit gisha Goldstone Report Good news Grapel Guardian guest post gunness Haaretz Hadassah hamas Hamas war crimes Hananya Naftali hasbara Hasby 2014 Hasby 2016 Hasby 2018 hate speech Hebron helen thomas hezbollah history Hizballah Holocaust Holocaust denial honor killing HRW Human Rights Humanitarian crisis humor huor Hypocrisy ICRC IDF IfNotNow Ilan Pappe Ilhan Omar impossible peace incitement indigenous Indonesia international law interview intransigence iran Iraq Islamic Judeophobia Islamism Israel Loves America Israeli culture Israeli high-tech J Street jabalya James Zogby jeremy bowen Jerusalem jewish fiction Jewish Voice for Peace jihad jimmy carter Joe Biden John Kerry jokes jonathan cook Jordan Joseph Massad Juan Cole Judaism Judea-Samaria Judean Rose Kairos Karl Vick Keith Ellison ken roth khalid amayreh Khaybar Know How to Answer Lebanon leftists Linda Sarsour Linkdump lumish mahmoud zahar Mairav Zonszein Malaysia Marc Lamont Hill max blumenthal Mazen Adi McGraw-Hill media bias Methodist Michael Lynk Michael Ross Miftah Missionaries moderate Islam Mohammed Assaf Mondoweiss moonbats Morocco Mudar Zahran music Muslim Brotherhood Naftali Bennett Nakba Nan Greer Nation of Islam Natural gas Nazi Netanyahu News nftp NGO Nick Cannon NIF Noah Phillips norpac NYT Occupation offbeat Omar Barghouti Only in Israel Opinion Opinon oxfam PA corruption PalArab lies Palestine Papers pallywood pchr PCUSA Peace Now Peter Beinart Petra MB philosophy poetry Poland poll Poster Preoccupied Prisoners propaganda Proud to be Zionist Puar Purim purimshpiel Putin Qaradawi Qassam calendar Quora Rafah Ray Hanania real liberals reference Reuters Richard Falk Richard Silverstein Right of return Rivkah Lambert Adler Robert Werdine rogel alpher roger cohen roger waters Rutgers Saeb Erekat Sarah Schulman Saudi Arabia saudi vice self-death self-death palestinians Seth Rogen settlements sex crimes SFSU shechita sheikh tamimi Shelly Yachimovich Shujaiyeh Simchat Torah Simona Sharoni SodaStream South Africa Speech stamps Superman Syria Tarabin Temple Mount Terrorism This is Zionism Thomas Friedman TOI Tomer Ilan Trump Tunisia Turkey UAE Accord UCI UK UN UNDP unesco unhrc UNICEF United Arab Emirates Unity unrwa UNRWA hate unrwa reports UNRWA-USA unwra Varda Vic Rosenthal Washington wikileaks work accident X-washing Y. Ben-David Yemen YMikarov zahran Ziesel zionist attack zoo Zionophobia Ziophobia Zvi

Best posts of the past 12 months


Nominated by EoZ readers

The EU's hypocritical use of "international law" that only applies to Israel

Blog Archive