Israel, Azerbaijan Strengthen Strategic Alliance With Gas Exploration Deal Signing in Jerusalem

March 17, 2025 1:45 pm

by Ailin Vilches Arguello 

Israeli Minister of Energy Eli Cohen (right) shaking hands with Azerbaijani Minister of Economy Mikayil Jabbarov as Israel and Azerbaijan’s state oil company SOCAR sign a gas exploration license agreement in Jerusalem, March 17, 2025. Photo: Screenshot

Israel and Azerbaijan strengthened their strategic alliance on Monday as Azerbaijan’s state oil company, SOCAR, signed a gas exploration license agreement in Jerusalem.

The agreement, expected to strengthen Israel’s energy security, marked the latest development of the Jewish state and the predominantly Shi’ite Muslim country continuing to expand their cooperation and strengthen bilateral ties amid increasing regional tensions.

During a visit to Israel, Azerbaijan’s Economy Minister Mikayil Jabbarov, who also serves as chairman of SOCAR, signed the gas exploration deal with Israeli Energy Minister Eli Cohen, the Israeli Ministry of Energy and Infrastructure announced on Monday.

Part of a consortium that included British multinational oil and gas firm BP and Israel’s NewMed Energy, SOCAR will now have the right to explore one offshore block in the Mediterranean, with three years to conduct seismic surveys to assess the potential presence of gas reserves.

“The entry of SOCAR and BP is excellent news for the State of Israel,” Cohen said in a statement. “Natural gas is a strategic asset that strengthens our economic and political standing in the world in general and in the Middle East in particular. Therefore, especially these days, we are working to expand natural gas production, for the benefit of the local economy and for exports.”

Meanwhile, Jabbarov referred to the “strategic alliance” between Israel and Azerbaijan while documenting his trip on social media.

In 2023, SOCAR secured the exploration rights via a tender from Israel’s Energy Ministry to drill in Mediterranean fields near the Leviathan field, one of the largest offshore gas discoveries in the world. However, the signing was postponed due to the Israel-Hamas war.

The new exploration licenses will allow access to Cluster I — an area covering approximately 1,700 square kilometers in the northern part of Israel’s economic waters. In a statement, the Israeli Energy Ministry said this area “has hardly been explored in the past in terms of natural resources.”

During his visit, Jabbarov also met with Israeli President Isaac Herzog and senior business leaders. He is the first Azerbaijani minister to visit Israel since the Hamas-led invasion of and massacre across southern Israel on Oct. 7, 2023, which triggered the Gaza war.

Last month, Hikmet Hajiyev, the assistant to Azerbaijani President Ilham Aliyev, met with Israeli Prime Minister Benjamin Netanyahu to discuss bilateral ties and regional developments on his second such trip in the last three months.

Azerbaijan’s ties with Israel have long been significant, with the country serving as the Jewish state’s most vital ally in the Caucasus and Central Asia for more than three decades, fostering a partnership that spans energy security, defense, and intelligence.

As of 2019, Azerbaijan supplied over a third of the Jewish state’s oil. Last year, Israel was the sixth-biggest buyer of oil from Azerbaijan, with sales totaling $713 million.

Meanwhile, Baku has acquired advanced Israeli defense systems, including the “Barak MX” missile system and surveillance satellites, and remains a leading buyer of Israeli military hardware, which was crucial in its 2020 war with Armenia.

Last month, Israel and SOCAR struck a major energy deal in which the Azerbaijani state oil company invested heavily in in Israel’s offshore gas fields. The deal made SOCAR a significant stakeholder in the Tamar gas field, which is a major natural gas source for Israel and has turned the country into a gas exporter in the region.

The agreement also marked one of the latest examples of Azerbaijan’s growing influence in the Middle East.

Azerbaijan’s strategic importance stems not only from its economic influence in the region but also from its role at the crossroads of a growing pro-Western bloc countering the regional ambitions of Iran, with which Azerbaijan shares a long border.

The Abraham Accords reshaped regional alliances during US President Donald Trump’s first term, and experts have argued that his current administration could further this shift, with Azerbaijan – a country that shares hundreds of miles of border with Iran while maintaining strong ties with Israel and Turkey – playing a key role in balancing regional power blocs and advancing Trump’s goals for the Middle East.

Content retrieved from: https://www.algemeiner.com/2025/03/17/israel-azerbaijan-strengthen-strategic-alliance-gas-exploration-deal-signing-jerusalem/.

About The Author

Leave a Comment