Cyprus Gas Field to Supply Europe as War-Driven Search for Alternatives Heats Up

Cyprus is poised to become an alternative energy source for European nations as Russia's war in Ukraine and Middle East turmoil drive the continent to seek new sources. The island nation's energy minister, Michael Damianos, said natural gas from the Cronos field off Cyprus' southern coast will supply Europe by March 2028.

The project involves a consortium led by TotalEnergies of France and Italy's Eni, which made a final decision last month to proceed with developing Cronos. A pipeline will connect the field to existing infrastructure at Egypt's massive Zohr natural gas deposit, from where the gas will be liquefied for transport by ship to Europe.

The deal includes a clause allowing about 20% of the gas to cover some of Egypt's domestic energy needs. Piping Cronos gas to Egypt was deemed the most economically viable option, with an estimated cost of $2 billion (1.73 billion euros), roughly half the estimated cost of developing other gas fields inside Cypriot waters.

Cronos is one of six natural gas deposits discovered so far off Cyprus' southern coastline. The energy minister said ExxonMobil plans to expand its exploration activities in the area and may receive an additional license to search for hydrocarbons.