The Cabinet voted its approval despite objections from neighboring Lebanon, which contends the border should be set well to the south of the one Israel and Cyprus agreed to.
Foreign Minister Avigdor Lieberman dismissed Beirut's objections as a maneuver by Hezbollah to create "friction."
"We will not give up any part of what is rightfully ours," Lieberman told a radio interview.
Ynetnews said Israeli officials expressed a willingness to negotiate with Lebanon to clarify the matter.
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