European Union member Cyprus is planning a major push into hydrocarbons exploration this year although Turkey, which lies to its north, says the move could derail reunification talks on the ethnically split island.
Cyprus has granted a concession to US-based Noble Energy to start drilling for gas in an offshore block south-east of Cyprus. Noble reported major gas finds off neighbouring Israel in 2009 and 2010.
"The Republic and the company are moving ahead according to plan to start exploratory drilling around the beginning of October," said energy minister Praxoulla Antoniadou. She said an indicative date was Oct. 1.
The island is trying to diversify away from heavy fuel oil firing its energy grids.
Energy sufficiency has been brought into sharp focus after an accidental munitions explosion destroyed the island's largest power station on July 11.
Turkey and Cyprus have been at odds for decades over the ethnically split island, which is represented in the EU by its internationally recognised Greek Cypriot government.
Cyprus was split in a Turkish invasion in 1974 triggered by a brief Greek inspired coup. Reunification talks have been held on and off over the years and the latest peace bid started in 2008.
Ankara says the island's wealth also belongs to Turkish Cypriots, who live in an unrecognised breakaway state in northern Cyprus and who do not participate in the Cypriot government.
"There is no doubt that the Republic of Cyprus has every right to move ahead and exploit any natural wealth it has," said Antoniadou, a moderate who heads the pro-solution United Democrats party. She was appointed to the Commerce, Industry and Tourism portfolio two weeks ago in a broad cabinet reshuffle when DIKO, the junior coalition partner, quit the Cypriot government.
"If Turkey is indeed looking forward to a future where countries of the region have peaceful relations and cooperate for mutual benefit the best it can do is to assist and allow efforts for reunification to continue," she said.
The US Geological Survey (USGS) last year estimated that the Levant Basin Province lying mostly off the coast of Israel, Lebanon and Cyprus could hold 122 trillion cubic feet (3.4 trillion cubic metres) of recoverable gas, making it one of the world's richest deposits
Copyright Reuters, 2011