Final investment decision on Kronos gas field to be taken in March, Energy Minister says

Damianos said that an Israeli delegation is in Cyprus today and tomorrow for intensive negotiations
The final investment decision (FID) for the management of “Kronos” gas field is expected by the end of March, with the aim of directing the first natural gas, via the “Zohr” gas field to Egypt, for processing and sale on the European market by the first half of 2028, Minister of Energy, Commerce and Industry, Michael Damianos, said Tuesday before the House Committee on Energy.
Damianos said that an Israeli delegation is in Cyprus today and tomorrow for intensive negotiations, in order to close the agreement for the “Ishai” gas field, estimating that this will become possible in the next 1-2 months.
Regarding the “Aphrodite” gas field, Ministry of Energy official Achilleas Sotirelis, informed the Committee that last February the Pre-FEED (Front-End Engineering Design) was completed and now we have entered the final detailed design for the project, the FEED which is expected to be completed by the end of the year. The FID is expected to be taken in 2027, he said.
Former Minister of Energy, George Papanastasiou, said that under Noble Energy, the project provided for a production unit in the field and the promotion of dry natural gas to Egypt. This was reaffirmed with the new joint venture with Chevron in February 2025, which, as he said, is progressing rapidly. The arrangement, he said, provides for a production unit in the field and a sea pipeline to Egypt. The intention of the joint venture, which was accepted by the Republic of Cyprus, is for the natural gas from the “Aphrodite” to go to the local market in Egypt, he went on to say.
Meanwhile, asked about the prospect of domestic consumption of natural gas from Cypriot fields to Cyprus, Sotirelis said that this is not attractive to companies, due to the small size of the Cypriot market. On the contrary, he noted, Egypt has a large production gap and needs, and thus it is considered more beneficial for companies to send Cypriot natural gas to Egypt.
Referring to this issue, former Minister Papanastasiou added that the investors are not the Republic of Cyprus, but the consortium, which is expected to do what is most financially appropriate in consultation with the state. The 3.5 tcf found in “Aphrodite” he pointed out, is a large quantity and it would not be sustainable to direct it exclusively to Cyprus. “There was no discussion about going in two directions,” he said.
Meanwhile, Minister Damianos noted that if there were larger quantities, companies would seek to make Cyprus a liquefaction hub.
“If the companies deem that it is better to go to Egypt, we should go ahead with that,” he said.
He noted that it is an issue that can be examined in the broader strategic planning of the state, but said that “we cannot commit now.”
Regarding the “Kronos” gas field, the Minister said that, according to the latest discussions with ENI, it is expected that the final investment decision (FID) will proceed at the end of March and it is expected that by the end of 2027 or the first half of 2028, natural gas will go from “Kronos”, via “Zohr”, to Egypt, for processing and sale to the European market, initially by 100%, and with a future provision for the possibility of using up to 20% from the domestic market of Egypt.
Regarding block 10 of Cyprus’ Exclusive Economic Zone and the “Glafkos” and “Pegasus” fields Sotirelis said that they are under evaluation by Exxon and final decisions are awaited. As he said, it is estimated that there are 6-9 tcf.
Source:΅CNA