Italian energy group Eni and French major TotalEnergies are close to making a final investment decision on the development of the Cronos natural gas field in Cyprus' exclusive economic zone, in a move that could unlock the country's first commercial gas production.
According to Bloomberg, the two companies are intensifying preparations with the aim of reaching a final investment decision by the end of July.
Speaking during a conference call with analysts, TotalEnergies chief executive Patrick Pouyanné said the companies were "working intensively" to finalise the investment.
Gateway to first gas exports
The development of Cronos is expected to provide Europe with an additional source of natural gas at a time when the continent continues to seek alternative energy supplies.
The project is also considered a milestone for Cyprus, potentially marking the first commercial exploitation of the country's offshore gas reserves more than a decade after initial discoveries were made.
Under current plans, gas from the field will be transported via subsea infrastructure to Egypt, where it will be liquefied and exported as LNG to European markets.
Exports targeted for 2028
President Nikos Christodoulides said in May that Cyprus aims to begin natural gas exports in 2028.
The Cronos project is being developed by a joint venture in which Eni and TotalEnergies each hold a 50% stake, with Eni serving as operator.
According to Pouyanné, the development is expected to secure access for TotalEnergies to around 1.4 million tonnes of LNG in Egypt, close to the European market.
He added that the project could also create the conditions for the development of additional gas discoveries within Cyprus' exclusive economic zone.
