Israeli circles followed the controversy sparked by the announcement by the Israeli company "Ratio Petroleum" of its intention to acquire the British company "Pharos Energy" operating in Egypt.
Tel Aviv fears that Egyptian concerns regarding national sovereignty and Israeli influence could hinder the completion of this strategic energy deal.
The Israeli channel "i24NEWS" said that the Israeli company's announcement of an offer to acquire the British company for an estimated value of £124.3 million, equivalent to about $164 million, has brought back to the forefront the issue of selling strategic assets and the limits of investment openness in sectors within Egypt.
The Hebrew channel added that the deal includes oil and gas assets in Egypt and Vietnam, and although it is still awaiting final approvals from regulators and shareholders, the announcement of it revealed extreme sensitivity towards any potential transfer of ownership involving Israeli entities.
She noted that Pharos Energy operates in the field of oil and gas exploration and has concessions within Egypt in the Fayoum, North Beni Suef and Western Desert regions, and has faced financial pressures that have prompted it to consider withdrawing from some markets, including the Egyptian market.
The Hebrew channel noted that the Israeli company made this offer as part of its efforts to expand its activity outside Israel, especially after its rise in the energy sector following the discovery of the "Leviathan" field, with reports indicating that it is studying the possibility of selling part of "Pharos'" assets in Egypt later to a third party.
The channel said that Pharos Energy’s investments in Egypt are concentrated in two main concession areas that are considered economically and strategically important. The first concession in the Fayoum region includes 11 oil fields in production with a 45% share for the British company, while the second concession is located in the North Beni Suef region with a similar share.
She pointed out that this strategic importance explains the extent of the controversy, as Israeli observers believe that the issue is not only about the transfer of ownership of one foreign company to another, but also about the possibility of Israeli influence, even indirectly, entering the Egyptian energy sector, which is considered a sovereign sector linked to economic security.
The Hebrew channel added that this development comes amid declared Israeli ambitions to become a major regional player in the Eastern Mediterranean energy market, which some Egyptian circles consider a factor that may create direct competition with the role that Cairo seeks to establish as a regional energy hub.
She noted that concerns have escalated against the backdrop of recent political and regional tensions, particularly during the war in Gaza, where the gas file between Egypt and Israel witnessed tensions related to border and energy issues and Cairo’s position on the issue of the displacement of Palestinians.
She said that critics of the deal believe that any Israeli presence within energy-related assets in Egypt could be seen in the future as a tool of influence or political pressure during times of regional crisis, which has revived the debate over the privatization program and the government's divestment from some economic sectors.
She explained that these policies raise concerns among segments of the Egyptian public about the possibility of some assets being transferred later to entities whose interests do not align with Egyptian interests, whether through resale or changes in ownership structures.
The channel concluded its report by noting that demands for subjecting major deals in sensitive sectors to more transparent oversight that takes into account national security considerations alongside economic returns are increasing, stressing that the deal is still in its early stages and requires approvals from the relevant regulatory authorities in Egypt and Vietnam, in addition to shareholder approval.
While it is estimated that it could be completed during the first half of 2027, the accompanying controversy reflects the level of sensitivity associated with the energy file and economic sovereignty in Egypt.
