NewMed, EGAS seal 15-year deal to channel Cypriot Aphrodite gas into Egypt’s energy grid

NewMed Energy (TASE:NMW), a partner in Cyprus’s offshore Aphrodite gas field, announced the signing of a 15-year agreement to supply natural gas to the Egyptian Natural Gas Holding Company-EGAS (EGX:EGAS), with an option to extend the deal by a further 5 years, according to a statement on April 9, cited by Al Ahram.

The company said that the agreement covers all commercially recoverable gas from the Aphrodite field, following the signing of a binding term sheet between the parties. NewMed Energy (formerly Delek Drilling) holds a 30% stake in the Aphrodite field.

Egypt and Cyprus are currently strengthening their role as a Mediterranean energy hub by linking offshore fields like Aphrodite and Cronos to Egypt’s LNG infrastructure via a 280-kilometre pipeline for domestic use and re-export to Europe.

The development builds on discussions held during the Egypt Energy Show (EGYPS 2026) in March, when Egypt’s Ministry of Petroleum and Chevron (NYSE:CVX) signed an agreement to accelerate production from the Aphrodite field and connect it to Egyptian infrastructure. The plan includes transporting gas via a 280-kilometre offshore pipeline to Egypt’s national grid in Port Said.

At the same event, Egypt and Cyprus also signed a framework agreement to facilitate negotiations for the export of gas from the offshore Cronos and Aphrodite fields to Egypt or to Egyptian state-owned firms. While non-binding, Cypriot officials described the deal as a foundation for expanding bilateral energy cooperation.

Earlier agreements between the two countries included plans to transport gas from the Cronos field, estimated to hold 3.2 trillion cubic feet, to Egypt for liquefaction and re-export.

Cyprus aims to position itself as a regional gas export hub to Europe, with production from Cronos expected to begin between 2027 and 2028.