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Significance

Greece and Turkey had avoided serious conflict for more than two decades, but things have changed in the past few years. After Turkey gave notice of conducting seismic surveys near the Greek island of Kastellorizo off Turkey’s south-western coast, a confrontation seemed likely, but that seems now to have been averted.

Impacts

The threat of war could further deter tourists from visiting either country, just as the industry was hoping for revival.

As a major energy importer, Turkey is very interested in finding its own source of hydrocarbons.

Most international oil companies would avoid participating in exploiting resources where the international legal status was unclear.

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