Eni and TotalEnergies have taken the first Final Investment Decision (FID) for a Cypriot offshore natural gas project, approving the development of the Cronos gas field and clearing the way for production to begin in 2028.
The decision marks a significant milestone for Cyprus' energy sector, with Cronos becoming the first offshore gas field in the country's exclusive economic zone to reach the development stage following a formal investment decision by its licence holders.
The two companies announced on Tuesday that they had approved the development of the field, located in Block 6 of Cyprus' exclusive economic zone.
Cronos was discovered in 2022 and successfully appraised in 2024. According to Eni, the field contains more than 3 trillion cubic feet of gas initially in place.
First gas targeted for 2028
Located in deep waters approximately 185 kilometres southwest of Cyprus, the project will be developed through four subsea wells.
Under the development plan, gas from Cronos will be transported via a subsea pipeline to Egypt, where it will be processed using existing facilities associated with the Zohr gas field before being liquefied at the Damietta LNG terminal for export to international markets.
The partners expect production to begin in 2028, reaching a plateau of around 500 million standard cubic feet per day, equivalent to approximately 2.8 million tonnes of LNG annually.
Existing Egyptian infrastructure to be used
The project will rely heavily on existing infrastructure in Egypt rather than the construction of new processing facilities, a strategy the companies say will accelerate development, reduce costs and lower the project's environmental footprint.
The contractual agreements governing the project cover:
- Use of the Zohr offshore processing facilities;
- Transportation of gas through Egypt;
- Liquefaction at the Damietta LNG plant;
- Commercialisation and export of LNG.
The framework follows a host government agreement signed by Cyprus, Egypt, Eni and TotalEnergies in February 2025.
Focus on LNG exports
The companies said LNG produced from Cronos will be exported to international markets, primarily Europe.
Under the project arrangements, TotalEnergies will market 50% of LNG output, equivalent to approximately 1.4 million tonnes per annum.
Eni said the development would contribute to the expansion of its LNG portfolio and support its target of exceeding 20 million tonnes per annum of contracted LNG by 2030.
TotalEnergies said the project would also contribute to the growth of its global LNG business, which it expects to reach 60 million tonnes annually by 2030.
Regional significance
In a statement, Eni Chief Executive Claudio Descalzi said the project would help position Cyprus as a gas producer and exporter while strengthening energy cooperation in the Eastern Mediterranean.
TotalEnergies Chairman and Chief Executive Patrick Pouyanné said the development could support the emergence of a regional gas hub by leveraging existing Egyptian infrastructure and provide an additional LNG supply route into Europe.
The companies also indicated that Cronos could facilitate the future development of additional gas resources in Block 6, which are expected to be assessed during future exploration and appraisal campaigns.
Eni has operated in Cyprus since 2013 and holds a 50% stake in Block 6, with TotalEnergies holding the remaining 50%. The two companies also hold interests in several other offshore blocks in Cyprus' exclusive economic zone.
