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EU Commission chief urges divided Cyprus' rival leaders to seize chance for reunification deal

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NICOSIA, Cyprus — The European Commission's top official expressed optimism Thursday that renewed peace talks in Cyprus can lead to a deal which the EU would support financially.

Urging rival leaders to grab the "unique opportunity" of reunifying the eastern Mediterranean island nation, European Commission President said Europe would be "deeply involved with the financing" of a peace accord.

Cyprus was split into a breakaway Turkish Cypriot north and an internationally recognized south in 1974 when Turkey invaded after a coup by supporters of union with Greece. Cyprus joined the EU in 2004, but EU law only applies in the south which enjoys full membership benefits.

Juncker praised Cypriot President and Turkish Cypriot leader , for their "common determination" to achieve progress in United Nations-mediated talks.

"After the talks I had with the two leaders I'm very optimistic, they trust each other," Juncker told a news conference after talks with Anastasiades.

Juncker hailed an agreement Thursday whereby EU protected status would be given to Cyprus' traditional cheese in both its Greek and Turkish names — Halloumi and Hellim. That means Turkish Cypriot manufacturers could export the cheese to EU countries through southern ports.

Peace talks resumed in May after an eight-month pause triggered by a feud between the Cypriot government and Turkey over the island's right to explore for gas and oil deposits off its shores.

"The formidable energy potential of this country should be put at the service of unity and bridge-building," said Juncker.

Talks are at an early stage. Likely thorny issues include military intervention rights accorded to Turkey.

Both leaders agree that any peace accord should be anchored on EU principles and law. Cyprus is a member of the EU but only the Greek southern part of the island enjoys the benefits.

PHOTO: European Commission President Jean-Claude Juncker, centre, Cyprus' President Nicos Anastasiades, right, and Turkish Cypriot leader Mustafa Akinci, left, shake hands before their meeting inside the UN controlled buffer zone that divides the Cypriot capital, in Nicosia, Cyprus, July 16, 2015. Jean-Claude Juncker arrived in Cyprus for a two-day official visit. This is the first official visit of President Juncker to the island since he was elected as European Commission president.    (AP Photos/Philippos Christou)
European Commission President Jean-Claude Juncker, centre, Cyprus' President Nicos Anastasiades, right, and Turkish Cypriot leader Mustafa Akinci, left, shake hands before their meeting inside the UN controlled buffer zone that divides the Cypriot capital, in Nicosia, Cyprus, July 16, 2015. Jean-Claude Juncker arrived in Cyprus for a two-day official visit. This is the first official visit of President Juncker to the island since he was elected as European Commission president. (AP Photos/Philippos Christou)

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PHOTO: European Commission President Jean-Claude Juncker speaks to the media during a press conference at the European Commission office in Nicosia, Cyprus, July 16, 2015.  Jean-Claude Juncker arrived in Cyprus for a two-day official visit. This is the first official visit of President Juncker to the island since he was elected as European Commission president. (AP Photos/Philippos Christou)
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