The Iranian naval contingent described by Israeli Foreign Minister Avigdor Lieberman would pose no significant military threat to Israel but could spell the closest-ever encounter by the forces of the two old foes, who are geographically distant.
Oil prices surged on the news. Brent crude rose to 29-month highs, helped by Middle East jitters over clashes in Iran, Yemen and Bahrain that raised concern about disruption to oil flows.
Brent crude rose $2.40 to $104.04 at 1708 GMT,
Syria is one of Israel's neighboring enemies. It has an alliance with Iran which has deepened along with Tehran's isolation from the West over its disputed nuclear ambitions.
"Tonight, two Iranian warships are meant to pass through the Suez Canal to the Mediterranean Sea and reach Syria, something that has not happened in many years," Lieberman said in a closed-door speech to Jewish leaders.
"To my regret, the international community is not showing readiness to deal with the recurring Iranian provocations. The international community must understand that Israel cannot forever ignore these provocations."
Lieberman, a far-right partner in Prime Minister Benjamin Netanyahu's conservative coalition, called for world powers "to act soon and ... put the Iranians in their place."
Signaling reluctance to deal with the Iranian warships alone, Defense Minister Ehud Barak said Israel had alerted "friendly nations in the region" over its concerns.
The Obama administration, trying to ride a wave of political upheaval in the Middle East, said it was aware of the Iranian warships but made no further comment.
RIGHT OF PASSAGE
The Suez Canal is a vital commercial and strategic waterway between Europe and the Middle East and Asia.
"The Suez Canal does not (stop) any commercial ships from passing as long as we are not in a state of war," said Ahmed El Manakhly, a member of Egypt's Suez Canal board.
He said warships of any country need approval to pass from Egypt's defense and foreign ministries. Neither ministry had sent word as yet of an Iranian request.
Iran's semi-official Fars news agency reported on January 26 that Iranian navy cadets were going on a year-long training mission into the Red Sea and through Suez to the Mediterranean.
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