NORTH SINAI (Updated) - An explosion, described by security officials as sabotage, at an Egyptian gas terminal in North Sinai sent flames shooting into the air and forced the shutdown of the pipeline carrying Egyptian gas to Israel, Jordan and Syria. It was the second attack since February and came two weeks after Egypt's new Government decided to review all contracts to supply gas abroad, amid a corruption probe that involved former president Hosni Mubarak and energy minister Sameh Fahmi. "The explosion took place at dawn near the village of Al-Sabil, south of el-Arish city and 50km to the Israel border. The flames were 20 metres high as residents fled the area surrounding the gas terminal," said Abdel Wahab Mabrouk, the Governor of North Sinai. Mabrouk added that the firefighters from the Armed Forces managed to control the fire in five hours without casualties. "Initial reports refer to a terror act committed by saboteurs, who planted a bomb and activated it remotely" Mabrouk told Egyptian official TV early in the morning. Gasco, an Egyptian company responsible for the pipeline, said the fire had been brought under control. "The gas current has been stopped and the fire was put down," said Magdi Tawfiq, CEO of the company. He added that a technical committee was tasked with evaluating the damage and the time needed to fix the pipeline. A security official, meanwhile, said the terminal, where the explosion took place, was not guarded except from some private guards appointed by a private company exporting the gas to Israel. "Increased security measures will be implemented in the area," the official said on condition of anonymity, citing the first attack on February 5 and revealing a recent bid to sabotage the pipeline. Israel's National Infrastructure Minister Uzi Landau told Israeli army radio there would be no immediate impact on supply. However, he said Israel should seek independence in gas supplies. "After that, the electricity board must find alternatives by using gas from Yam Tethys or by using coal or fuel oil," he said, referring to Israel's existing gas field, which is on the verge of being depleted. Amos Gilad, a senior official at Israel's Defence Ministry, told public radio it is "essential for the Egyptian Government to follow a clear policy to ensure the provision of gas and to maintain the peace accord". "The situation is very delicate, the only possible policy is to rely on the Egyptians," he added. In Egypt, a broad probe on the 2005 deal to export gas to Israel sent former minister of energy Sameh Famhi to trial over wasting public funds. Mubarak, his friend Hussein Salem and his two sons are being investigated on the gas exporting to Israel. The Egyptian officials are accused of costing the State $714 million in losses because of the deal. "The price Israel pays Egypt for the gas isn't low, it's twice as much compared to Syria, Jordan and Lebanon. The rate the Israel Electric Corporation pays the Egyptian gas company is identical to the rate it pays Israel gas suppliers." The Egyptian Government is approaching Israeli officials to review the gas prices, as some analysts said bombing the pipeline was an 'indicator of the future of the Egyptian-Israeli ties'. "This explosion reflects the growing Egyptian desire to freeze the ties with Israel. Gas export and the peace treaty would be the main points of controversy to pop up in the coming period," said Emad Gad, a political analyst. Meanwhile some 200 students from Cairo University staged a protest outside the Israeli Embassy, urging the Government to cut off its ties with Israel. The protesters said in a statement that normalising ties with the Israeli enemy was 'nothing but a treason of the people's will'. Egypt was the first Arab country to sign a peace treaty with Israel in 1979.