Middle East: Israel's Bet on Oil

The drifting sands of the Sinai Peninsula had not yet settled over the wreckage of Arab war machines in 1967 when Israel and Egypt became locked in another fevered contest. Since the Suez Canal was closed indefinitely by the Six-Day War, forcing oil tankers to make the long and costly journey around the Cape of Good Hope, both countries hastily revived plans to build pipelines. These lines were intended to transmit Middle East oil more quickly and cheaply to the Mediterranean for shipment to Europe and the Western Hemisphere. Last week Egypt's...

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