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Israel Offers Gaza
As Oil Transit Point
Tel Aviv (JTA) — In a
peaceful bid to foster econ-
omic cooperation with the
Arab world, Israel is offering
transit facilities for Euro-
pean-bound Arab oil at a pro-
jected terminal in Gaza.
Under an Israeli plan
submitted to a team of World
Bank experts, Saudi Arabia
and Kuwait would pump oil
overland to the Mediterra-
nean port of Gaza, where it
would then be shipped to
European destinations.
Such an arrangement
would save the two oil-
exporting nations an
estimated $240 million an-
nually by enabling bypass
of more expensive transit
through the Suez Canal or
around Africa.
The plan would also help
boost employment in econ-
omically depressed Gaza, a
center of anti-Israel intifada
tui-bulence.
The blueprint is to be re-
viewed by the World Bank
panel in the context of the
multilateral talks on econ-
omic development that are
part of the Middle East
peace process.
The proposal is based on a
study by Professor Gideon
Fishelson, scientific coor-
dinator of Tel Aviv Univer-
- sity's Armand Hammer
Fund for Economic Coopera-
tion in the Middle East.
Mr. Fishelson, a professor
of economics, reckons it costs
$18 to ship one ton of oil
from the Persian Gulf to
Western Europe through the
Suez Canal; the cost rises to
$20 in shipment by super-
tankers around Africa.
Savings of $3 to $6 per ton
of crude oil could be achieved
by piping the oil from the
Arabian Peninsula to the
Mediterranean coast and
then loading it on tankers
bound for Europe, he said.
The Middle East supplies
the world with some 600
million tons of oil a year,
says Fishelson. Hence the
suggestion that about 60
million to 70 million tons
will be exported via Gaza "is
reasonable," he said.
Potential savings would
more than cover the cost of
constructing and maintain-
ing the pipelines and an oil
terminal in Gaza, and still
leave a surplus, he said.
At the political level, the
plan would have no impact
on Arab national pride since
"Arab oil would continue to
be exported via an Arab oil
terminal."
-4
Moreover, the pipelines
would physically link Israel
and three or four Arab coun-
tries, "making them
interdependent" and thus ,_=')
cementing the peace.
The Israeli economist rec. , <
oinmended that Israel shut
down its oil terminal at the
southern port of Eilat.
Originally built to pipe Ira-
nian oil to refineries in,_)
Ashdod and Haifa, it now
funnels oil imports from
Egypt.
But Mr. Fishelson said the
terminal poses "a major en-
vironmental" hazard.
"The delicate environmen-
tal balance in the Gulf of —`
Eilat and the uniqueness of
its aquatic life are sufficient
arguments for not taking
any additional risks," he
wrote.
He suggested that Israel
buy its oil instead from sup- j<
plies pumped through the
proposed overland pipeline, -
which could be linked to an
existing Eilat-Ashdod
system in the desert north of _
Eilat. The danger of an oil
spill in a "closed oil-transfer H
system" would be minimal, J
he said.
Eight Paintings
Sold At Auction
Amsterdam (JTA) — An auc-
tion last month of eight paint-
ings by Felix Nussbaum, at<
artist who died in Auschwitz
in 1944, fetched over K
$500,000, four times more
than had been estimated.
Before the Dec. 10 auction
at Christie's Amsterdam, a
settlement was reached by <
the man who had offered
them for auction and Mr. <
Nussbaum's heirs, sisters
Augusta Moses Nussbaum
and Sophie Yaari
Nussbaum, now both living
in Jerusalem.
The paintings were put up
for sale by Lucas Kok, a
carpenter.
The Nussbaum sisters ac-
cepted a settlement in which )
they would receive part of
the proceeds from the auc-
tion. This would avoid long,' -)
drawn-out and expensive
litigation, the outcome of `)
which would be uncertain.
Mr. Kok, who was born
after the war, had inherited r;i:
the paintings from his aunt,
who had been a neighbor of<—\'
Felix Nussbaum's parents.
They had settled in Amster-
dam after leaving Germany.