Richard Parks ExxonMobil is exploring the possibility of teaming up with the Eni-Total consortium to develop significant natural gas deposits discovered off the southern coast of Cyprus. Cypriot Energy Minister George Papanastasiou confirmed on Friday that discussions are underway to collaborate on bringing these valuable gas reserves to market.
ExxonMobil, which holds exploration rights for Block 10 alongside Qatar Petroleum, is preparing to drill a new exploratory well named Pegasus near the existing Glaucus gas field. The Glaucus deposit, located in Block 10, is estimated to contain between 5 to 8 trillion cubic feet of natural gas. Meanwhile, the Eni-Total consortium has made its own discovery of the Cronos deposit, estimated at 2.5 trillion cubic feet of gas, in nearby Block 6.
Papanastasiou stated that infrastructure could be developed to connect the Glaucus and Pegasus reserves if the latter is found to hold significant gas. In addition, ExxonMobil plans to drill another well, Electra, in Block 5 early next year. This area is located to the north of Block 10 and adjacent to Block 6, where the Eni-Total consortium operates.
The next steps for ExxonMobil will depend on the results from the new wells, with potential development options including the creation of a floating liquefied natural gas (LNG) terminal or transporting the gas to land-based processing facilities for local use and export.
Cyprus views its offshore gas resources as vital to Europe’s energy security, especially amid efforts to reduce reliance on Russian energy. In addition, the Cypriot government is in early discussions with energy companies from the Persian Gulf about exploration opportunities within its exclusive economic zone.