Azerbaijan and Israel have strengthened their energy relationship with significant developments in natural gas exploration and investment cooperation.
On March 19, 2025, Azerbaijani Minister of Economy Mikayil Jabbarov met with ExxonMobil Vice President John Ardill to discuss expanding their longstanding partnership in the energy sector. Jabbarov highlighted the potential for further collaboration during an exchange that also underscored the countries' mutual commitment to deepening their energy ties. Minister Jabbarov shared via a post on X, noting that they explored "opportunities to further expand collaboration in the energy sector."
This meeting not only reflects Azerbaijan's growing ambitions in energy but also signifies an ongoing trend where Azerbaijan is actively seeking to enhance energy cooperation with key international players. For ExxonMobil, this partnership represents a chance to expand its footprint in a region that has become increasingly important in the global energy market.
In a concurrent development, Israeli Energy and Infrastructure Minister Eli Cohen announced that he has officially granted Azerbaijani state-run oil and gas company SOCAR licenses to explore natural gas deposits in Israeli waters on the same day. This landmark decision comes as Azerbaijan and Israel have fostered a relationship that transcends military cooperation into one of economic collaboration.
Minister Cohen celebrated the granting of these licenses, stating, "This is a historic milestone and a tremendous vote of confidence in the State of Israel." His sentiments reflect the diplomatic rapport that has blossomed between the two nations, especially amid recent geopolitical tensions.
Cohen's announcement has been viewed as a significant step for both countries, particularly since it heralds SOCAR's first venture to explore natural gas outside its borders. The licenses were part of a broader Azerbaijani delegation's visit to Israel, during which Jabbarov also met with Israeli counterpart Nir Barkat. The two ministers discussed various priorities for investment cooperation, collaboration within industrial zones, and strengthening the ties between their respective business communities.
The cooperation between Azerbaijan and Israel underscores a deepening of bilateral relations that were previously marked predominantly by military collaboration. During the recent conflicts, particularly throughout 2023, Israeli-manufactured arms played a critical role in Azerbaijan's military successes, including significant operations in Nagorno-Karabakh.
As the conflict unfolded in the broader context of the Gaza crisis, Azerbaijan and Israel have managed to maintain strong ties despite regional tensions. The granting of exploration rights to SOCAR indicates a trust that extends beyond military arms into vital economic partnerships.
This collaboration comes amid rising concerns regarding security in the region, particularly related to tensions with Iran. Reports suggest that Israeli Defence Forces have taken precautionary measures, advising off-duty personnel to avoid travel to Georgia and Azerbaijan due to fears of potential threats. The Azerbaijani Foreign Ministry has similarly warned its citizens against traveling to Iran, following a series of violent episodes that have strained the relationship between Azerbaijan and its neighbor.
Furthermore, the political landscape is complicated by the perceived cooling of relations between Azerbaijan and Turkey in light of these geopolitical shifts. The backdrop of changing alliances and interests has made the energy agreements between Azerbaijan and Israel even more crucial as both countries seek to bolster their security and economic stability.
Critics point out, however, that Azerbaijan's strategic alliances can provoke undue tensions, particularly with its traditional allies in the region. As SOCAR embarks on its exploratory journey, the Azerbaijani government may face scrutiny regarding its long-term strategy and the potential economic repercussions of its relationships with nations at the center of the geopolitical storm.
In conclusion, the recent meetings between Azerbaijani officials and American and Israeli counterparts symbolize a significant evolution in the energy dynamics of the region. With the backdrop of complex regional tensions and changing alliances, Azerbaijan continues to assert its position as a key player in the global energy market.