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The Republic of Cyprus is ready to enter into discussions with energy companies Delek and Noble as well as with the Israeli government in order to achieve the arrival of natural gas as soon as 2013, Commerce Minister Neoklis Sylikiotis said on Thursday.

Speaking to the press in the sidelines of a gas conference taking place in the coastal town of Larnaka, Sylikiotis clarified that Cyprus is planning to examine the possibility of bringing natural gas to Cyprus from the Tamar gas field off the coast of Israel.

He said that he discussed this possibility during his recent visit to Israel and in the next few days a working committee from the two countries will examine it further.

Sylikiotis noted that following the discovery of natural gas in Cyprus’ Exclusive Economy Zone (EEZ), our country wishes to become a new EU gas provider.

He recalled that during the second licensing round, prominent international companies have shown their interest.

Commerce Minister also said that the natural gas reserves in Cyprus’ EEZ contribute to the energy adequacy and self-sufficiency of our country and create the conditions for Cyprus to become a regional energy hub.

He stressed that the government has already prepared an energy strategy and is making very careful and well examined steps. He repeated that the plans provide for a liquefaction unit, which will be built in Cyprus and for the founding of a state hydrocarbons company.

Sylikiotis also said that in the next few days he will hold a meeting with a group of experts from MIT in order to go through all the possibilities Cyprus has to exploit its hydrocarbons reserves and supply the international markets.

Cyprus government has signed an agreement to delineate the Exclusive Economic Zone with Egypt and Israel with a view to exploit any possible natural gas and oil reserves in its EEZ. A similar agreement has been signed with Lebanon but the Lebanese Parliament has not yet ratified it.

The first licensing round, concluded in 2007, resulted in granting concessions to Houston-based “Noble Energy” for exploratory drilling in Cyprus’ EEZ block 12. Noble started drilling on September 2011 and the initial data that emerged from the exploratory drilling and the evaluation checks carried out, indicate the existence of a natural gas reservoir ranging from 5 to 8 trillion cubic feet (tcf) with a gross mean of 7 tcf.

The government approved on November 23, 2011 the launch of a second licensing round for the remaining 12 offshore blocks, a decision published at the EU Official Journal on February 11, 2012.

Fifteen bids from five companies and 10 from jo int ventures were submitted on the 11th of May for the second licensing round concerning the Republic of Cyprus’ offshore hydrocarbon reserves.

Bids were submitted for 9 of the 12 offshore blocks, comprising the Cypriot EEZ.

Source: Financialmirror

Published on June 15, 2012|||Cyprus to enter into discussions with Israel for arrival of gas in 2013
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