Egypt cancels gas supply deal with Israel, decision may represent breach of peace treaty.

Egypt cancels gas supply deal with Israel, decision may represent breach of peace treaty.(TOI).E gypt on Sunday unilaterally canceled its agreement to supply Israel with natural gas, in what appeared to be a grave indication of the deteriorating relations between the countries. Cairo communicated its decision to the Israeli government on Sunday afternoon, Israel’s Channel 2 news reported. The report described the decision as an abrogation of part of the Israeli-Egyptian peace treaty, with profound economic and diplomatic implications. The head of the Egyptian Natural Gas Holding Company later confirmed that the contract had been terminated, but claimed this was because of Israeli “violations” of contractual obligations. Mohamed Shoeb said Israel had not paid for its gas in months. He would not elaborate. He said it was a business and not a political decision. Egyptian militants have blown up the gas pipeline to Israel 14 times since the uprising that ousted Hosni Mubarak last year. Many Egyptians feel the deal gives Israel bargain prices. Egypt’s parliament has called for the deal to be abrogated. The Israeli side said the decision was “unlawful and in bad faith,” accusing the Egyptian side of failing to supply the gas quantities it is owed. The dispute is under international arbitration. The original Egypt-Israel peace treaty, signed in 1979, provided for Egypt to supply Israel with oil. As Egypt’s capacity to do so dwindled, the relevant clause was amended to apply to natural gas. Sunday’s decision represented a unilateral abrogation of an element of the overall treaty, Channel 2 reported, and thus was highly significant with respect to Israeli-Egyptian ties. Relations between the two countries have been in the spotlight ever since the collapse of former president Hosni Mubarak’s regime at the start of 2011. Relations with Israel in general, and the gas supply deal in particular, have been criticized at mass protests and by would-be presidents alike.Hmmmm.....Obama's 'Buddies' the Muslim Brotherhood.They really got Israel's back............with a naked blade.Read the full story here. HT: @abuamnon