Noble Thinking of Pipeline Offshore Cyprus. Turkey to Start Drilling

Cyprus’ newspaper Politis reports that the U.S.-based oil and gas exploration and production company, Noble Energy, is contemplating building a natural gas pipeline to connect a natural gas field offshore Cyprus to the mainland.

The Politis says that Noble, the operator of the Cyprus’ Block 12, if the plans become a reality, will spend approximately USD 2 bln for the setting up of the 300 km long pipeline which will transport natural gas from the block to the still not-approved LNG terminal. According to the Politis, the construction of the LNG terminal will require an investment of USD 10 billion.

Further, the newspaper writes that Noble has already hired a survey vessel, the Odin Finder, for seabed mapping in order to find the best possible route for the pipeline.

Turkey to start drilling

On the other side, Turkey, which has opposed Cyprus’ decision to let Noble Energy explore for natural gas in Cypriot waters, has its own plans.

As a response to Noble’s start of drilling offshore Cyprus, Turkey and a self-declared state of Northern Cyprus, last year signed a “Petroleum Services and Production Sharing Contract”. According to the agreement Turkey is allowed to search for oil and gas reserves offshore/onshore Northern Cyprus.

Turkey has, since then, completed seismic data acquisition, using its survey vessel Piri Reis, and according to Reuters, plans to start drilling offshore Cyprus by the end of the month.

Reuters yesterday quoted Mehmet Uysal, a TPAO chief executive officer as saying: “We’re starting drilling in northern Cyprus in the coming days … We have started shipping our equipment there.”

[mappress]

Offshore Energy Today Staff, March 13, 2012