Egypt, Eni review plans to boost output and advance Cyprus gas tie-in project

Egypt is reviewing plans with Italian energy major (BIT: ENI) to raise oil and gas production and continue work on linking Cypriot gas fields to Egypt’s infrastructure, Al Ahram reported on February 12. 

Eni is currently investing $8bn to drill new development wells in the Egyptian Zohr and Nargis fields, aiming to reverse production declines and secure Egypt's domestic energy supply for 2026.

Minister of Petroleum and Mineral Resources, Karim Badawi, met with an Eni delegation including Diego Portoghese, North Africa and Levant regional head, Francesco Gaspari, chief executive of IEOC Production, and Mahmoud Abou El-Yazid, vice president for Egypt.

Talks focused on accelerating development activities and bringing new wells online swiftly to help secure domestic energy supplies.

Badawi said there is progress on the proposed tie-in of Cyprus’s Cronos gas field to Egypt’s gas network. He added that the government is prioritising a new commercial model offering attractive investment incentives aimed at doubling crude oil output. The minister noted that there is a need for non-traditional approaches and advanced technologies to drive a step change in production rates.

Egypt and Cyprus signed agreements in October covering the transportation of gas from the Cronos field to Egypt for processing and potential re-export to Europe. Cronos is estimated to hold around 2.5 trillion cubic feet of gas, with Egypt targeting its first imports for liquefaction and export from 2027.

The two countries are also studying a potential link-up of the Aphrodite field, which holds an estimated 3.5 trillion cubic feet, to Egypt’s LNG facilities to support exports to European markets.