Joint Turkish-Egyptian naval exercises will be held by the end of 2011 in the territorial water of Turkey, a military source said to Masrawy.
"Egypt wants to participate in the exercises despite the situation in the country," the source added.
The exercises target exchange of experience between the two countries.
On Friday, Turkey expelled Israel's ambassador to Ankara. It then cut joint military ties.
These two moves were the country's diplomatic response to a United Nations report, which described Israel's storming of a ship containing Turkish protesters on 31 May, 2010 as "excessive" but "legal."
Erdogan on Tuesday also announced the broad outlines of a plan to step up Turkey's marine presence in the Eastern Mediterranean.