Israel nears pact with Cyprus on Aphrodite-Ishai fuel reservoir

A delegation from the Ministry of Power and Infrastructure is due in Nicosia this week for talks with its Cypriot counterparts on the Aphrodite-Ishai pure fuel reservoir, within the hope {that a} draft settlement may be drawn up that may resolve the disputes which have continued since 2011.

Substantial progress on the query of the reservoir, 90% of which is in Cypriot financial waters, was made on the trilateral Israel-Cyprus-Greece convention that occurred in Jerusalem final month. On the convention, Israel’s Minister of Power and Infrastructure Eli Cohen agreed together with his Cypriot reverse quantity Michael Damianos on expediting the talks, on the idea of an estimate of the required division of income.

“The thought is to place into follow the choice of the power ministers and advance the method. The objective is to allow the ministers to signal an settlement as early as February,” a senior Cypriot official informed “Globes”. The Cyprus Information Company reported final week that the settlement on the Aphrodite-Ishai reservoir “seems to be getting into the ultimate levels.”

The talks between the 2 international locations will give attention to the administration of the small a part of the reservoir that’s in Israeli financial waters, to formulate a compensation mechanism. The goal, based on the Cypriots, is to succeed in a fuel consolidation settlement: consolidation of the licenses that may facilitate joint improvement of the break up fuel subject to be able to maximize the speed of manufacturing and exploitation of the financial potential.

“We’re very shut,” the Cypriot official stated. “We have now reached a really superior define proposal, and there are not any substantial points on the horizon that may take us backwards or require a very long time to resolve. We’re working to tie up the unfastened ends within the subsequent few months; even the signing stage presents sure logistical challenges.”

The Ministry of Power and Infrastructure said: “The delegation that may depart this week for discussions in Cyprus will work to progress to signature on the settlement. The proposed define is a joint process for selecting an knowledgeable who will look at the geological knowledge and the event plan and on the idea of those will decide Israel’s share within the reservoir and guarantee applicable recompense.”

The objective: Liquifying in Egypt, promoting to the world

The Aphrodite reservoir, which has fuel reserves estimated at 129 BCM, is generally in Block 12, on the south-eastern finish of Cyprus’s financial zone. About 10% of it’s in Israeli financial waters

The companions on the Cypriot aspect are Chevron (35%), Shell (35%), and NewMed (30%). On the Israeli aspect, the rights are held by Israel Alternative, Nammax Oil and Gasoline, Eden Power, and PSH (Petroleum Companies Holdings). Cyprus has not waited for decision of the dispute with Israel earlier than growing the reservoir; the federal government in Nicosia authorized the revised plan for Aphrodite in February previous 12 months.

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The plan requires a floating manufacturing platform and export of the fuel by way of an undersea pipeline to Egypt. Cyprus is a minor shopper of fuel. The way in which for it to generate substantial income is thru liquefaction on the Egyptian vegetation at Idku and Damietta, and exports from there as LNG everywhere in the world.

Growth of the Aphrodite-Ishai reservoir is liable to anger Turkey, which doesn’t acknowledge Unique Financial Zone borders within the area, notably within the case of Cyprus, which it invaded in 1974 and the place it arrange the Turkish Republic of Northern Cyprus 9 years later. The concern is that Turkey will make the most of its sponsorship of the regime of President Ahmed al-Sharaa in Syria to signal a maritime border settlement between the 2 international locations that may problem Cyprus’s management of its financial waters.

Printed by Globes, Israel enterprise information – en.globes.co.il – on January 19, 2026.