Government okays East-Med pipeline deal with Greece, Cyprus

The government has approved a deal with Cyprus and Greece to build the Eastern Mediterranean pipeline and provide gas to southern Europe, the Energy Ministry says.

The three countries signed a deal in January for the pipeline and work is underway to plan out the 1,900-kilometer project to carry 10 billion cubic meters of gas a year from offshore reserves held by Israel and Cyprus to Greece, and then on to Italy and other southeastern European countries. The ministry says the pipeline can be doubled to provide 20 BCM of gas a year.

The project is expected to cost some 6 billion euros.

Energy Minister Yuval Steinitz calls the government okay “another milestone in our efforts to turn Israel into an energy exporter — which will bring in tens of billions for the good of the country and its citizens in years to come.”