Egypt and Cyprus signed a framework agreement for co-operation on gas at the Egypt 2026 Energy Show this Monday.
A Spokesperson for the Cypriot Presidency said that the non-binding agreement will be a base upon which the two countries can negotiate more agreements for the exploitation of Cyprus’ reserves.
Another Cypriot government official added that the agreement will allow the two countries to negotiate the sale of natural gas to Egypt or Egypt’s state-owned companies from Cyprus’s Kronos and Aphrodite offshore fields.
Cypriot officials say they could be in a position to start extracting gas from Kronos in 2027 or 2028.
Last year, Egypt and Cyprus signed agreements enabling the export of gas from Cyprus’s offshore fields to Egypt for liquefaction and re-export to Europe, as both countries seek to bolster the Eastern Mediterranean’s role as an energy hub.
Egypt is suffering the spillover from the Iran war, particularly in the energy sector, as it depends on imported fuel. Costs have ballooned with the disruption of oil and gas production and trade across the Middle East.
The government has already raised fuel prices and the price of public transport, announced a work-from-home policy, and ordered most malls, shops, and eateries to close down by 21:00 (CAT) five days a week.
–Reuters–
