The Israeli government has approved a framework agreement with Greece and Cyprus to construct the Eastern Mediterranean Gas Pipeline. On 2 January, in Athens, ministers from the three countries signed the agreement, which allows for Italy to join the project.
Why has this happened now? Is the decision to construct a gas pipeline an attempt to prevent Turkey from implementing its own plans in the Mediterranean? What do Arab countries and other countries in the Eastern Mediterranean think about this project? Sputnik has talked to experts to find out.
Timing and Payments
Israel ratified the project almost six months after the ministers of Greece, Cyprus, and Israel signed the corresponding agreement. Avinoam Idan from the Chaikin Centre for Strategic Studies and Research Centre for Maritime Strategy at Haifa University explained why this happened.
Speaking about the project’s expected benefits, the expert added that “the countries involved in the pipeline construction are planning to invest about €6 billion in the project. The pipeline will only be constructed by 2025.
It’s only then that we will find out the approximate amount of profit we can get. Moreover, the pipeline launch is a matter of strategic partnership for the Eastern Mediterranean. More specifically, it can be characterised as a general response to the Turkish challenge. However, the economic cooperation between Israel, Greece, and Cyprus can in no way harm Turkey or challenge it”, he added.
Problems With Neighbours
Laying the pipeline is also not easy: Israel’s maritime borders with Lebanon are not demarcated; in particular, there may be problems in the gas shelf zone.
At the same time, according to the expert, Lebanon could also benefit if it were involved in the gas pipeline cooperation.
Attempt to Pressure Egypt
In turn, Ramadan Abu el-Ela, an Egyptian petroleum engineering expert from the University of the Suez Canal, believes that it will be technically difficult to implement this project. At the same time, he considers the project an attempt to put pressure on Egypt – to make the country make concessions regarding logistics and gas transfer to the Mediterranean.
Speaking about pressuring Egypt, the expert added that “they will economically benefit from using this gas pipeline only in cooperation with Egypt: in other words, using our infrastructure. Otherwise, the pipes will have to be laid too deep. It will be expensive and inefficient. But Cairo doesn’t want to use the language of pressure – let them first offer favourable conditions”.
What Will Lebanon Say?
Lebanese oil expert Rabia Yahi believes that the project in itself is rather promising, at least for the gas consumption of the Mediterranean countries.
At the same time, the Lebanese expert noted that it is more profitable for Lebanon to establish energy cooperation with Turkey due to geopolitical circumstances.
Doubts Regarding Implementation
However, Greek energy specialist Ioannis Michaletos believes the pipeline may not be constructed at all.
At the same time, the expert doesn’t rule out that the global crisis caused by the pandemic will affect the EastMed’s construction: “There is a decrease in consumption and prices due to the coronavirus. The project may not be economically viable due to current prices. Let’s not forget that if the current [economic] situation is long-term, any investment will be difficult”.
In turn, according to Turkish energy specialist Volkan Aslanoğlu, implementing the EastMed gas pipeline project is illogical.
“Let’s have a look at why Greece is so active. This is due to the Herodotus Basin, southeast of Crete, which is a new potential gas field. Herodotus demonstrates great potential, as the Leviathan gas field once did. No work has been carried out in the region yet, but thanks to an agreement with Libya, Türkiye Petrolleri can now explore these blocks. Although seismic surveys are not very important, the dynamics will change again during drilling. Indeed, after Turkey came to the fields south of Cyprus, ENI revised the drilling plan based on the fact that it failed to ensure safety in the areas where licenses were granted by the Republic of Cyprus; the works in the license area were postponed for the coming years”, the Turkish expert pointed out, speaking about the reasons for Greece’s increased activity in the Mediterranean Sea.
The Eastern Mediterranean gas pipeline project is currently in the early development stage.
Sourse: sputniknews.com
