Medicanes are rare cyclones in the Mediterranean Sea, with intensifying trends partly attributed to climate change. Despite progress, challenges persist in understanding and predicting these storms due to limited historical tracking data and their infrequent occurrence, which make monitoring and forecasting difficult. In response to this issue, we present an AI-based system for tracking and forecasting Medicanes, employing machine learning techniques to identify cyclone positions and key evolving spatio-temporal structural features of the cloud system that are associated with their intensification and potential extreme development. While the forecasting model currently operates with limited training data, it can predict extreme Medicane events up to two days in advance, with precision rates ranging from 65% to 80%. These innovative data-driven methods for tracking and forecasting provide a foundation for refining AI models and enhancing our ability to respond effectively to such events.