* Erdogan calls Noble, Israel drilling “madness” *
Turkey signed a deal with the breakaway Turkish Cypriot regime on Wednesday to start offshore gas exploration, in a move set to escalate regional tensions over Mediterranean energy reserves.
On Tuesday, the Greek Cypriot government said Texas-based Noble Energy had begun drilling in a southeastern offshore block, adjoining a gas field in Israeli waters reputed to be the world's largest find of the past decade.
Turkish Prime Minister Tayyip Erdogan described the offshore drilling by Cyprus and Turkey's estranged ally Israel as "madness" before signing the deal with the Turkish Cypriots that Ankara believes will position itself on the regional energy map.
Turkey is the only country to recognise the Turkish Cypriot administration, while the Cypriot government is internationally recognised and represents the island in the European Union.
"Turkey has committed yet another illegal act by signing an agreement with an illegal entity which has been condemned by U.N. resolutions," Cyprus government spokesman Stefanos Stefanou said in Nicosia.
"Turkey is attempting to prevent the Republic of Cyprus from exercising a self-evident right, one which is acknowledged by the international community, which asks that Turkey respect international legality. Unfortunately Turkey persists in acting illegally."
Turkey's neighbour and historic rival, Greece, reiterated its criticism of the pact.
"This move from Turkey is against international law and U.N. Security Council decisions. The so-called 'deal' is invalid and groundless," the foreign ministry said in Athens.
Turkey argues that the Greek Cypriot government should not have started gas explorations before reaching a settlement in reunification talks with the Turkish Cypriots, and that the mineral wealth belonged to both communities.
"Actually, the Greek Cypriot administration's drilling activity is nothing but sabotage of the negotiation process between Turkish Cypriots and Greek Cypriots," Erdogan added.
Peace talks between the two sides were launched in 2008 but progress has been slow, with Turkey refusing to allow any progress unless it secures a commitment that it will some day join the European Union. The United Nations is tentatively eyeing a settlement before July 2012 when Cyprus is due to assume the EU's rotating presidency which Ankara said it will boycott.
Turkey already bans Cyprus-flag ships and aircraft from entering its ports and maintains a 40,000-strong military presence on the island, ever since it invaded and occupied the northern part in 1974.
TURKISH MUSCLE
The row over hydrocarbon reserves erupted as relations between Turkey and Israel broke down over Israel's refusal to apologise for killing Turkish activists aboard a ship carrying aid to Palestinians in Gaza last year.
Under Erdogan, Turkey has become increasingly assertive in the region and it disputes the offshore territorial agreement struck last year by Cyprus and Israel.
Noble Energy which is carrying out the drilling operations for Cyprus, has been conducting offshore drills in the eastern Mediterranean for Israel since 1998.
Turkey has said it would use its navy and air force to escort any gas exploration vessels it may dispatch in the Mediterranean if Cyprus pressed ahead with drilling.
Erdogan again referred to Turkey's military muscle on Wednesday: "Our assault boats and frigates are already in the region," agencies quoted him as saying.
Last week the Turkish leader said warships could be sent to the eastern Mediterranean any time and Israel could not do whatever it wants there.
The European Commission has called for Cyprus and Turkey to show restraint in the gas row and work toward a settlement on the island.
