Turkey-Israel pipeline on table as Europe’s alternative to Russian gas
The production platform of Leviathan natural gas field is seen in the Mediterranean Sea, off the coast of Haifa, northern Israel, June 9, 2021. (Reuters Photo)


A natural gas pipeline between Turkey and Israel is being discussed behind the scenes as one of Europe’s alternatives to Russian energy supplies, government and industry officials in both countries said.

But it will take complicated maneuvering to reach a deal, they noted.

First conceived years ago, the idea is to build a subsea pipeline from Turkey to Israel's largest offshore natural gas field, Leviathan. Gas would flow to Turkey and on to Southern European neighbors looking to diversify away from Russia.

Turkey and Israel proclaimed a new era in relations earlier this month after a yearslong rift as Israeli President Isaac Herzog made a landmark visit to Ankara.

President Recep Tayyip Erdoğan said last week that gas cooperation was "one of the most important steps we can take together for bilateral ties," and told reporters he was ready to send top ministers to Israel to revive the pipeline idea that has hung in the air for years.

A senior Turkish official told Reuters talks have continued since Herzog's visit and "concrete decisions" could follow in coming months on a proposed route and participating entities.

Industry officials, however, say production restraints and geopolitics could affect the plan.

The Leviathan field already supplies Israel, Jordan and Egypt. Its owners – Chevron and Israeli firms NewMed Energy and Ratio Oil – plan to crank up production from 12 to 21 billion cubic meters (bcm) a year.

By comparison, the European Union imported 155 bcm of Russian gas last year, covering close to 40% of its consumption.

Much of the extra gas output will be liquified and exported on ships to Europe or the Far East, according to NewMed. Its chief executive said last month Turkey could become a destination too, but needed to commit to building the pipeline.

Israeli Energy Minister Karine Elharrar told Ynet news on Sunday many considerations had yet to be discussed, including the finances.

"It needs to be found economically feasible, which is not something self-evident," she said.

Energy bridge

Israel and Turkey are looking to put a decade of diplomatic impasses, usually over Israeli-Palestinian issues, behind them. Energy partnership could be key, especially after the Russian invasion of Ukraine made Europe more determined to find alternatives to its energy supplies.

"There has been a recent rapprochement with Israel and we want its gas to transit Turkey en route to Europe," said another Turkish official. "Israel is looking positively on this, some talks have been held and there is a will to do it."

Gas supplies from the Mediterranean could ease European dependence on Russian gas, following Russia’s invasion of Ukraine and subsequent calls from European leaders to reduce the continent’s reliance on Moscow.

Plans for a subsea pipeline that would carry Israeli gas from the Eastern Mediterranean to Europe via Greek Cyprus, Greece and Italy, excluding Turkey, have stalled after the United States expressed misgivings in January.

Turkey has long opposed the project and has stressed that any scheme that aims to sideline the rights of Turkey and the Turkish Republic of Northern Cyprus (TRNC) in the Eastern Mediterranean will be unsuccessful.

The EastMed pipeline had enjoyed the support of the former Trump administration in the U.S. However, in an apparent U-turn, the Biden administration in January expressed doubts about the project, citing concerns over its economic viability and environmental costs.

Turkey consumes about 50 bcm of natural gas a year and imports nearly all of that, most through pipelines from Russia, Iran and Azerbaijan. It is well placed as a transport hub in the region where energy politics can be heated.

Citing Iraqi and Turkish officials, Reuters has reported that a plan to bring, with Israel's help, gas from Iraq's Kurdistan region to Turkey and Europe is part of what triggered Iran's missile attack on Irbil, the capital of the Kurdistan Regional Government (KRG), this month.

"Turkey is of great interest, for its domestic consumption as well as a channel to countries in southern Europe," said a senior official in the Israeli gas sector.

The problem, the official said, is that there were already two proposed routes for the extra supplies from Leviathan: via existing LNG plants in Egypt or a planned floating LNG facility.

"If Turkey responds quickly then it may be a third alternative," the official said.

The pipeline would run 500-550 kilometers (310-341 miles) and cost up to $1.5 billion to build, according to Israeli officials, making it more manageable than the 6-billion-euro ($6.6 billion) EastMed proposed to connect Israel with Greek Cyprus, Greece and Italy.