The Republic of Cyprus (Republic) today signed a Memorandum of Understanding (MoU) in respect of the Cyprus Liquefied Natural Gas (LNG) Project with Total E&P Cyprus B.V. (Total).
This follows the award in February to Total of Exploration and Production Sharing Contracts for Blocks 10 and 11 of the Exclusive Economic Zone (EEZ) of the Republic.
The MoU records the support of Total for the monetization of potential natural gas reserves in Blocks 10 and 11 of Cyprus’ EEZ through a variety of options giving priority to liquefaction and LNG export to European and Asian markets. In particular the two parties will cooperate on the feasibility of an onshore LNG plant to be built at Vasilikos, Cyprus, with due consideration to Total’s views on the structuring and development of the LNG Project.
The oil & gas industry has recently shown significant attention to the Levantine Basin as it is one of the newest exploration frontiers with enormous gas potential.
Italy’s oil company Eni, and South Korea’s KOGAS recently also received the rights to search for oil and gas in Blocks 2,3 and 9, located in the Cypriot deep offshore portion of the Levantine basin.
[mappress] November 07, 2013