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Natural gas

Recognition of Palestine as a State Could Unlock Gaza Marine Gas Revenues

Strategic Insights

— 2 min read

The Palestinian Authority (PA) may be entitled to develop the Gaza Marine field's natural gas resources, which could generate $4 billion in revenue at current prices, according to Michael Barron, author of a new book on Palestine's untapped gas reserves. Barron suggests that the PA could receive $100 million a year over 15 years from the field's revenues. The development of the field has been stalled due to legal controversies over ownership, but recognition of Palestine as a state would provide the PA with a new secure source of income and regular energy supplies independent of Israel.

Key Takeaways:

  • The Gaza Marine field is estimated to contain 30 billion cubic meters of natural gas, a small fraction of the more than 1,000 billion cubic meters contained in Israel's territorial waters.
  • Recognition of Palestine as a state would provide the PA with the right to develop the Gaza Marine field and receive revenues from its natural gas resources.
  • The PA could receive $100 million a year over 15 years from the field's revenues, generating a total of $1.5 billion.
  • The development of the field has been stalled due to legal controversies over ownership, including a warning letter from a law firm representing Palestinian human rights groups to the Italian state-owned firm ENI.
  • Israel's energy ministry has awarded six licenses to ENI in the Gaza Marine field, but the licenses are considered invalid by some experts, citing Israel's lack of a maritime border.
  • The East Mediterranean Gas pipeline, which runs parallel to the Gaza coastline, is considered unlawful by Global Witness, as it runs through Palestinian waters and does not provide revenue to the PA.
  • The Oslo Accords give the Palestinian National Authority jurisdiction over territorial waters, the subsoil, and the right to legislate over oil and gas exploration.

Statistics:

  • The Gaza Marine field is estimated to generate $4 billion in revenue at current prices.
  • The PA could receive $100 million a year over 15 years from the field's revenues.
  • The field contains 30 billion cubic meters of natural gas, a small fraction of the more than 1,000 billion cubic meters contained in Israel's territorial waters.
  • The East Mediterranean Gas pipeline is 56 miles (90km) long.
  • The Oslo Accords were signed in 1993.
  • Palestine acceded to the UN Convention on the Law of the Sea (UNCLOS) in 2015 and set out a detailed claim for its maritime borders in 2019.

Sources:

  • Michael Barron, The Gaza Marine Story (book)
  • [Michael Barron, author of the book, as cited in the text]
  • The Guardian, "IDF's Gaza assault is to control Palestinian gas, avert Israeli energy crisis" by Nafeez Ahmed
  • UN Special Rapporteur on Palestine, Francesca Albanese, report on private sector investment in Israel's acknowledged occupation of Palestine
  • Global Witness, report on the East Mediterranean Gas pipeline

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