“There is a new era of peace and prosperity for the region with the Abraham Accords,” Netanyahu said at the start of the meeting. 

By Aryeh Savir, TPS and World Israel News Staff

In a rare visit to Jerusalem on Sunday, Egyptian Petroleum and Mineral Resources Minister Tarek El Molla discussed joint energy projects with Israeli Prime Minister Benjamin Netanyahu and Energy Minister Yuval Steinitz.

“This is an important day, marking our continued cooperation on energy and so many other things,” Netanyahu stated at the start of the meeting.

“There is a new era of peace and prosperity for the region with the Abraham Accords. This began of course with the historic peace treaty between Egypt and Israel but now it is becoming something that can better the lives of all the people in economic terms and we think that this is a great opportunity for regional cooperation – Egypt, Israel and the other countries.

“We are an energy hub. Together we can supply not only our own needs, but the needs of many other countries.  So, it is in this spirit of friendship and cooperation and peace and prosperity that I welcome you to Israel,” he said.

“Thank you for receiving us and for the invitation,” the Egyptian minister responded. “Together with Minister Steinitz, we started together a few years back the expansion of the cooperation in energy which was enhanced by the foundation of the East Mediterranean Gas Forum. I am looking forward to our discussions. Thank you once again for receiving us.”

Also participating in the meeting were National Security Council head Meir Ben Shabbat, Energy Minister Dr. Yuval Steinitz, Egyptian Natural Gas Holding Company Chairman Magdy Galal, Israeli Ambassador to Egypt Amira Oron and Egyptian Ambassador to Israel Khaled Azmi.

El Molla and Steinitz agreed to work on an intergovernmental agreement to run gas from Israel’s Leviathan gas field to the Liquefied natural gas (LNG) facilities in Egypt.

El Molla’s visit to Jerusalem, Steinitz said, was of historic importance given that the establishment of the regional gas forum and the export of natural gas to Egypt symbolize the most significant economic cooperation between Egypt and Israel since the peace agreements were signed almost 42 years ago.

Against the background of increased cooperation in the field of energy and the establishment of the Eastern Mediterranean Gas Forum (EMGF), established by Steinitz and El Molla, the ministers expressed their support for building a strong and well-connected energy infrastructure throughout the Eastern Mediterranean to optimize the potential of natural gas reserves in the region.

The ministers also referred to the importance of achieving the 2030 Agenda for Sustainable Development, adopted by all United Nations Member States in 2015, as well as the global climate targets, including the reduction of emissions by 2050 and other environmental targets.

The discussion included various opportunities for increasing energy independence for the Palestinian Authority, including through projects such as the development of the maritime field in Gaza, the construction of the Jenin power plant, and the supply of natural gas to the PA.

It was “acknowledged that strong energy cooperation between the two countries contributes to energy security and energy diversification, while further strengthening the ongoing regional dialogue through the EMGF, regarding the development of the regional gas market while exploiting the full potential of gas resources in the region, and setting the platform for a multifaceted and complete trade center in the region” Israel’s Ministry of Energy stated.

Italy, Greece, Jordan, Israel, Egypt, Cyprus, and the Palestinian Authority are members of the EMGF.

Some 35 trillion cubic feet of gas have been found in Israeli waters, worth some $500 billion.

These crucial discoveries are enabling Israel to become energy independent and have also turned Israel into a major player in the international energy-exporting market.

The Israeli government is expected to earn 17 billion shekels in royalties from the gas discoveries. Additionally, the windfall profits levy is expected to reach up to 10 billion a year by 2040.

The Israeli government approved in December 2019 the export of a total of 60 billion cubic meters (bcm) of natural gas from the Leviathan gas field, and 25 bcm from Tamar, over the next 15 years.

The expected amount of exported natural gas is valued at approximately $15 billion.

Israel began pumping gas to Egypt in January 2020.

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The agreement will be signed in Athens on Jan. 2 by Greek Prime Minister Kyriakos Mitsotakis, Cypriot President Nikos Anastasiades and Israel’s Netanyahu.

By Associated Press

The leaders of Cyprus, Greece and Israel plan to sign an agreement early in the new year for the building of the eastern Mediterranean natural gas pipeline, the Greek prime minister’s office announced Sunday.

The agreement will be signed in Athens on Jan. 2 by Greek Prime Minister Kyriakos Mitsotakis, Cypriot President Nikos Anastasiades and Israeli Prime Minister Benjamin Netanyahu.

As now planned, the pipeline will run across the Mediterranean from Israel’s Levantine Basin offshore gas reserves to the Greek island of Crete and the Greek mainland, and then to Italy.

The deal will be finalized with Italy’s signature at a subsequent date, Mitsotakis’ office said. In May, Italian Prime Minister Giuseppe Conte had expressed opposition to the Poseidon project, which is the last section of the pipeline that would connect Greece with Italy.

Cyprus, Greece and Israel already signed an agreement on the 1,900-kilometer (1,180-mile) pipeline earlier this year in the presence of U.S. Secretary of State Mike Pompeo.

The EastMed pipeline is expected to satisfy about 10% of the European Union’s natural gas needs, decreasing energy dependence on Russia.

The EU has contributed to the cost of technical studies for the project.

The three signatory countries are joined in a common opposition to Turkey’s recent deal with the U.N.-recognized Libyan government delineating “maritime borders” between the two countries in the Mediterranean. Turkey and Libya are geographically far from each other, with Greece and Egypt being in the way.

The deal is seen as Turkey’s way to pressure for a share in the maritime resources of the eastern Mediterranean, even if this means encroaching into other countries’ space. Turkey, for its part, contends that Greece and Cyprus aim to confine Turkey it its narrow territorial waters.

On a visit Sunday to Cyprus, Greek Foreign Minister Nikos Dendias was asked if the EastMed deal signing was an answer to Turkey’s deal with Libya.

“What we’re doing is not in reaction to anything,” he said. “It’s an effort to improve the quality of life of our countries’ citizens, to improve our economies and to offer solutions, and EastMed is a great energy boost to the European Union’s energy options.

“We don’t see our initiatives as being directed against anyone,” he added. “We see them as positive steps, and we invite whomever to take part as long as they agree with the wider framework.”

Cypriot Foreign Minister Nikos Christodoulides, however, said there is a need to counter Turkey’s recent actions.

“We have common goals and approaches and I believe that the proper framework is being created to counter the actions of some who wish to create conditions of instability in the eastern Mediterranean by violating international law,” he said.

“All countries which perceive international law as the natural state of things are welcome to take part in our common initiatives,” Denjdias added.

The Greek foreign minister also visited eastern Libya and Egypt on Sunday. In Benghazi, Libya, he conferred with Field Marshal Khalifa Haftar, leader of the Libyan National Army, which is fighting the Tripoli-based Libyan government recognized by the United Nations.

In Cairo, Denjdias met with his Egyptian counterpart, Sameh Shoukry. Egypt has also denounced the Turkish deal with Libya.

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“Until I see a substantial agreement, a budget and an explanation of who funds it, it is still all theoretical,” says former Israeli Ambassador to Greece Arye Mekel.

By Yaakov Lappin, JNS

As Israel, Greece and Cyprus build an important alliance in the eastern Mediterranean, one ambitious project under discussion by the three countries is attracting both interest and debate over its feasibility.

The EastMed pipeline, which envisions the construction of a pipeline that takes natural gas from Israeli and Cypriot underwater reserves, and then transfers them to Greece and beyond, has been a frequent talking point during trilateral summits.

In March, a summit in Jerusalem involving Israeli Prime Minister Benjamin Netanyahu, former Greek Prime Minister Alexis Tsipras and Cypriot President Nicos Anastasiades was joined by U.S. Secretary of State Mike Pompeo, who expressed support for the project.

The pipeline, which could extend for 2,000 kilometers (nearly 1,250 miles) and go as far as Italy, has the potential to “attract investment that will maximize these resource,” said Pompeo. Its estimated cost is $7 billion. Supporters, especially Washington, tout it as a way for Europe to diversify its energy supply, decreasing dependence on Russia.

Yet doubts have also surfaced about the idea’s ability to make the leap from theory to implementation.

“I would view it as a good theoretical idea, which is very far from realization,” Israel’s former ambassador to Greece from 2010 to 2014, Arye Mekel, told JNS. “They’ve been talking about it for almost 10 years. But throughout this time, only talks came out of it.”

So far, no formal decision has been taken to begin construction. Mekel pointed out the difficult hurdles that lie in the way of realizing the plan. “Theoretically, the idea sounds very good. But a practical decision has never been taken. The difficulties are known. It is very difficult from a technical perspective to lay this pipeline. There are sections of the Mediterranean that are very deep—beyond Cyprus, near the Greek islands. And no one said they’d be glad to fund it.”

Previous proposals of funding for the construction work by the European Union, in exchange for a quantity of natural gas reaching European states, did not materialize.

In 2018, Israeli media reported that the E.U. agreed to invest $100 million in a feasibility study prior to reaching an agreement. Under the proposal, Israel and Cyprus would receive preference as gas exporters to the European market.

According to reports, the EastMed pipeline would be able to deliver 20 billion cubic meters of gas annually.

‘The regional architecture landscape is changing’

‘Three democratic countries harmoniously cooperating’

George N. Tzogopoulos, a lecturer at the Democritus University of Thrace, in Greece, and a research associate at the Begin Sadat Center for Strategic Studies at Bar-Ilan University, told JNS that despite the challenges, the project should be viewed from a wide perspective.

“The EastMed pipeline is more expensive than other options and can be technically challenging, but is certainly feasible,” he said. “But the project should not be seen only from this perspective. Security is much more important than higher prices or technical difficulties. Three democratic countries—Israel, Greece and Cyprus—are harmoniously cooperating and seek to export natural gas from the Levantine Basin to Europe.”

The increasing amounts of natural gas discovered in the area have made “the discussion about export options more important than ever,” said Tzogopoulos. “The regional architecture landscape is changing, and that is why the U.S. openly supports the EastMed pipeline. The American support can be the key to success. After the Greek and the Israeli national election of July and September respectively, trilateral summits—now under Washington’s institutional umbrella—will continue to take place paving the way for the realization of the project in the long-term and is accordance with the finding of hydrocarbons.”

Meanwhile, regional tensions between multiple states surrounding the future exploration and drilling for Mediterranean natural gas continues to bubble up to the surface.

Israel and Lebanon have not yet defined their shared maritime border. The two neighbors, still technically in a state of war, dispute an area of 300 square miles in the eastern Mediterranean that has potential energy resources. Reported U.S. mediation to settle the maritime dispute are underway, so far with no tangible results.

At the same time, Turkey’s dispute with Cyprus means that the pipeline would have to take a long route to avoid Turkish maritime boundaries, driving up costs and sparking fears of Turkish interference in drilling activities, as Ankara is angry about being left out of such a project.

This dispute hit the headlines recently when two Turkish drilling ships began operating off the Cypriot coastline, sparking anger in Nicosia and Athens.

Turkey ‘seeks to increase tensions’

“As far as Turkey is concerned, as long as the Cyprus question remains unresolved, no pipeline passing through the exclusive economic zone of the illegally occupied northern part of the island will be constructed,” said Tzogopoulos. “Ankara understands this reality, and seeks to increase tensions and cause fear to Athens and Nicosia. Again, the U.S. holds the key for a solution to the problem.

“Historically, the U.S. had regarded Turkey a more important strategic ally than Greece and Cyprus,” he continued. “But in recent months, this seems to slightly change. American-Turkish relations are strained, while Greece and Cyprus are becoming America’s best partners in the Eastern Mediterranean in parallel with Israel.”

As Greece, Cyprus and Israel charting their own course in the eastern Mediterranean, backed by firm U.S. support, Turkey “is not excluded” from this partnership. Rather, “it prefers the politics of bullying,” argued Tzogopoulos.

Mekel echoed the dramatic developments in Israel-Greek relations in recent years. He recalled how from 2010 onwards, under the rule of Socialist Greek Prime Minister Lucas Papademos, relations warmed significantly. “We succeeded in continuing this momentum, improving it under the conservative [Antonis] Samarus. And much to our surprise, relations improved even further unde the current prime minster, [Alexis] Tsipras, despite the fact that he was perceived as far left,” stated Mekel.

The trend looks set to continue under newly elected Greek Prime Minister Kyriakos Mitsotakis, who has pledged to strengthen Greek-Israeli ties even further.

Similarly, Israeli-Cypriot relations began flourishing under a Communist president, Demetris Christofias, who died just last month.

Israeli military benefit

From Israel’s perspective, Mekel argued, the principal benefit has been military, with the Israeli Air Force now able to train in Greece on a regular basis—a country that has an air space 20 times larger than that of Israel’s. Greece’s highly trained air-force pilots, who are a part of the NATO alliance, form valuable training partners for the Israelis, noted Mekel.

Israeli commando units have also conducted beneficial ground training in Cyprus with local military forces.

With Israel seeking to reciprocate, “we found the pipeline as an excellent thing to talk about,” said Mekel. “I don’t see it happening at the moment. During the last meeting between ministers, an agreement was signed, but in my eyes, it was all theoretical. Until I see a substantial agreement, a budget and an explanation of who funds it, it is still all theoretical.”

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