Both sides seem to be determined to stand their ground.
Reading the LGN website which covers the north, they seem to suggest that the EU cannot be a fair arbiter in this dispute. Putting aside the wider issues about Turkey, on this issue, the ROC might be better advised to reach some kind of deal that works for the Turkish Cypriots.
Maybe a jointly owned company with profits shared proportionately in the future?
I also doubt that sanctions aghast Turkey will work and sanctions would probably widen the dispute and may have unintended consequences for all Cypriots.
All sides need to act with reason.