Cyprus drilling gains from drive to reduce Russian gas reliance

Addressing the World Conference of Cyprus Diaspora, in Limassol Pilides said drilling, being carried out in block six by ENI/Total, was progressing at a satisfactory pace and was expected to be completed within two to three weeks. She expressed the hope there would be positive results.

In a recent interview with Bloomberg, Pilides said: “Europe is a good potential customer for Cypriot gas as the EU has confirmed that natural gas will remain a bridge fuel up to 2049 as part of the green transition so companies now have the comfort of being able to secure long-term contracts.”

In a 27 July presentation, the Minister mentioned the positive prospects identified by confirmatory drilling in block 10, adding seismological studies were being carried out in blocks 10 and five to determine the exact quantities.

The minister explained that block five was licensed to the ExxonMobil/Qatar Energy joint venture in December 2021, stressing it was particularly significant the companies have expanded their presence in the Cypriot EEZ with a block adjacent to block 10.

Pilides also said the finalisation of Chevron/Shell and Israel’s Newmed Energy’s plans in block 12, where drilling is expected to follow in the first months of 2023.

It is very important the quantities identified in block 12 are supplemented with additional confirmed quantities, she said, for the investments that must be made for the transport of natural gas to Egypt and to the EU to go ahead.

The minister linked these works to the government’s broader plan for green development, which promotes the use of hydrocarbons until 2049, highlighting the role of electrical interconnectors in Cyprus’ energy security and the need to increase its targets use of renewable energy sources (RES) in line with EU targets.

Cyprus is aiming to develop large and small storage systems to provide greater stability to the grid, she said.

Finally, she mentioned that along with other measures to reduce costs from the energy price hikes for consumers, the state has increased tenfold the amounts for RES installations, which have “generated a lot of interest from the public, who have embraced the plans”.

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