Egypt to pay Israel $1.76 billion after halting gas supplies

AP News
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Posted: Dec 06, 2015 8:06 AM

JERUSALEM (AP) — Israel's state-owned electric utility says Egyptian natural gas companies will pay it compensation of $1.76 billion for halting gas supplies.

Egypt stopped selling natural gas to Israel in 2012 after months of attacks on a pipeline by militants in Egypt's Sinai Peninsula. The Israeli electric company sued the Egyptian providers EGPC and EGAS for $4 billion in damages. The company said it suffered heavy damages after gas supplies were halted and that it was forced to buy more expensive fuel to generate electricity, raising its costs

The company said Sunday that an international arbitrator awarded it $1.76 billion plus interest. The company said it will act in coordination with the Egyptian companies to implement the arbitrator's ruling.