Prime Minister Joseph Muscat said this morning that he hoped Malta and Italy would in the coming weeks be able to sign an agreement on joint exploration for oil in disputed waters.

Dr Muscat was speaking at a press conference with Italian Prime Minister Enrico Letta.

Sig Letta said the two sides had made rapid progress in this sector and he hoped final agreement would be reached at a technical meeting in the near future. 

Dr Muscat and Sig Letta said they had discussed the situation in the EU and they agreed that the EU should go for growth and should focus on fighting youth unemployment.

Italy takes the presidency of the EU in the second half of next year.

Dr Muscat said the two sides had also discussed immigration and proposals they are making in the European Union .

Another issue discussed was the situation in Libya. 

Dr Muscat reiterated that Libya should be helped as far as possible to emerge from its instability so that it could take more effective action against immigration.

Sig Letta praised Malta for its action with Italy over immigration.

"We need decisions at European level on immigration," Sig Letta said, adding, like Dr Muscat that the December meeting of EU heads of government was seen as important in this area.

Sig Letta thanked Dr Muscat for confirming Malta's participation in the Expo World Fair.

The two prime ministers later visited an Italian frigate in Grand Harbour where they were briefed about Operation Mare Nostrum, the campaign to monitor and tackle migration.

They were given details of how the Italian Navy over the weekend intercepted a mother ship from where migrants started their journey on small boats. Several people were arrested.

Dr Muscat remarked that this sort of operation was 'a game changer'.