A high-level Israeli delegation has arrived in Cyprus, initiating crucial negotiations to finalise a significant agreement for the joint exploitation of the Aphrodite-Ishai natural gas field. This collaborative effort between Israel, Cyprus, and Egypt aims to strengthen regional energy cooperation and harness the considerable hydrocarbon resources of the Eastern Mediterranean. Representatives from Israel's energy, finance, and justice ministries are actively participating, underscoring the strategic importance of this initiative for the nation.
Central to these discussions is the establishment of a robust framework for the development and management of the Aphrodite reservoir, a substantial natural gas deposit that spans the exclusive economic zones of both Cyprus and Israel. The proposed intergovernmental agreement is designed to create clear cooperation mechanisms, particularly regarding the portion of the field located within Israel's designated Ishai block. A key aspect involves defining equitable compensation for gas extracted from Israel's exclusive economic zone, ensuring a mutually beneficial outcome.
The development of the Aphrodite-Ishai field is closely integrated with broader regional energy strategies. A primary objective is to facilitate the export of Cypriot gas to Egypt, where it will be liquefied and subsequently distributed to international markets. This tripartite collaboration is intended to enhance energy security and diversify supply for all involved nations. Israeli Energy Minister Eli Cohen has emphasised natural gas as a "strategic asset for Israel," highlighting the country's commitment to increasing production and export capabilities.
This diplomatic push follows the submission of a final draft of the intergovernmental agreement to Israel. The former Cypriot Energy Minister had previously expressed an ambition to sign this pivotal accord by the end of the year. If these timelines are adhered to, Cyprus could potentially commence its first offshore gas production in the early 2030s, a development that would significantly transform its energy landscape.
The technical plan for developing the Aphrodite reservoir includes the placement of a floating production unit directly above the gas field. The extracted natural gas will then be transported to Egypt through an established pipeline, utilising existing infrastructure. The Aphrodite reservoir is estimated to contain approximately 3.5 trillion cubic feet of recoverable gas, promising considerable economic and geopolitical advantages for the region. This collaborative venture marks a substantial step towards realising the Eastern Mediterranean's extensive energy potential and fostering a more integrated and secure energy future.