Cyprus News | Turkey-Israel Gas Pipeline

Cyprus News | Turkey-Israel Gas PipelineCyprus News | Turkey-Israel Gas Pipeline

According to Matthew Bryza, former U.S. ambassador to Azerbaijan and board member of Turcas Energy Group AS, the only economically feasible way of exploiting the gas off Cyprus is a Israel-Turkey gas pipeline.

South Cyprus wants an LNG terminal at Vasilikos, on the island’s southern shore, in order to provide desperately needed revenue and jobs. However, according to Matthew Bryza, the biggest Cypriot field, Aphrodite, is too small to justify the $4.5-6bn investment needed and for Israel to use it seems unlikely.

‘Israel might agree to use a Cypriot terminal, yet no country has ever exported its natural gas from an LNG terminal on another country’s territory, making this prospect unlikely.’

However, there is a possibility that income from a 480-km pipeline to Turkey, which would be much cheaper, combined with excess gas from Leviathan, could be used to finance the Cypriot terminal. But all this is pie in the sky unless Turkey, Israel and the south overcome their differences and at the centre of this is a solution to the Cyprus problem and a change in the attitude of Turkey’s PM, Erdogan, towards Israel.

It’s going to be an interesting year.

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