ExxonMobil: Cyprus Natural Gas Could Flow by 2033
ExxonMobil's Vice President of Global Exploration said natural gas from two offshore Cyprus discoveries could start flowing by 2033, most likely via pipeline to Egypt for liquefaction. Other options like onshore or floating facilities are currently too costly.
Key Numbers
Natural gas from two undersea deposits discovered by ExxonMobil (XOM) off Cyprus could start flowing by 2033, a senior executive said Tuesday, helping transform the east Mediterranean island into a new European energy hub.
Details
John Ardill, ExxonMobil's Vice President of Global Exploration, said the most likely option to bring the gas to market is a pipeline to existing processing facilities in Egypt, where it can be liquefied for export. Consortium partner QatarEnergy is involved in the project.
Other options, including building onshore facilities in Cyprus or a floating facility above the fields, are considered too costly at this stage.
Context
The announcement comes as Cyprus seeks to become a regional gas exporter, competing with other East Mediterranean finds like Egypt's Zohr field and Israeli gas fields. ExxonMobil has not yet disclosed final investment decisions for the project.
What It Means for Investors
The project represents a long-term opportunity for ExxonMobil to diversify its natural gas revenue streams, but remains in early stages, requiring regulatory approvals and significant capital. Investors may monitor regulatory developments and potential partnerships.
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