Cyprus targets gas exports in 2028, as the Mid East conflict increases supply tensions

Michael Damianos, the Energy Minister, said that Cyprus could start producing natural gas to?export by?2028. This would 'potentially? strengthen Europe's drive to diversify their energy sources, as the Middle East conflict tightens its focus on supply.

The turmoil in the Gulf has raised concern about energy transits via chokepoints such as the Strait of Hormuz. This corridor is responsible for a fifth of world oil trade and has been brought to a halt after U.S.and Israel launched strikes against Iran on February 28, 2019.

Damianos said in an interview that he hoped to have gas by 2028.

Priority for EU-Wide Priority

Damianos stated, "I believe that the general crisis in the Middle East demonstrates that we should exploit all of our reserves, particularly those outside the Gulf region." "You can't be dependent on specific areas."

He said that "having Eastern Mediterranean?reserves which are exploitable, should be a top priority not only for Cyprus but for the EU as a whole."

Cyprus has found between 15 and 18 trillion cubic foot of gas in six different areas of its exclusive Economic Zone. However, development has been slow because the discoveries are spread out across several offshore blocks that require separate investment decisions.

The Cronos gas field, discovered by Italy’s Eni, and France’s TotalEnergies holds just under three trillion cubic foot of gas - enough to supply Cyprus for decades or to support exports to other regional markets.

The field will be developed using the?existing infrastructure? in Egypt. Here, gas would be processed before it is shipped to European markets.

Damianos stated that a terminal for the export of liquefied gas in Cyprus was not ruled out but it would be dependent on bigger discoveries.

Power Cable Planned

Cyprus, in addition to its gas infrastructure, is also pursuing major projects for electricity, such as the Greece-Cyprus - Israel (GSI) -electricity interconnector.

Damianos stated that the undersea cable is intended to improve the energy system of the island and reduce its isolation.

He said, "It's an important project in terms of security of supply." (Writing and editing by Michele Kambas)

(source: Reuters)