ExxonMobil Explores Partnership with Eni and Total for Cyprus Gas Development

Talks Underway for Cyprus Gas Deposits Development

ExxonMobil is considering a partnership with Italian energy company Eni and French oil giant Total to develop natural gas reserves off Cyprus‘ southern coast. This collaboration is part of a broader effort to tap into newly discovered hydrocarbon deposits and support Europe’s energy diversification following the Russia-Ukraine war.

Exploratory Wells Could Boost Collaboration

According to Cypriot Energy Minister George Papanastasiou, ExxonMobil is discussing a joint effort with the Eni-Total consortium to develop these offshore gas reserves. A key milestone could be the drilling of the Pegasus exploratory well, set for early next year. If successful, it could strengthen collaboration and enhance the region’s gas supply potential.

Gas Reserves in a Strategic Location

The Glaucus deposit in Block 10, south of Cyprus, is a major focus for ExxonMobil and Qatar Petroleum, with reserves estimated between 5 and 8 trillion cubic feet. Adjacent to it, Block 6, operated by Eni and Total, contains the Cronos deposit with an estimated 2.5 trillion cubic feet of gas. If Pegasus drilling yields promising results, linking Block 10 and Block 6 through shared infrastructure could maximize gas extraction and market potential.

Strategic Development Options for Gas Export

ExxonMobil is also planning to drill another well, Electra, in Block 5, located north of Block 10 and west of Block 6. Once these wells are assessed by mid-2024, ExxonMobil will explore development options, including:

• Converting the gas into LNG for export

• Transporting it to Cyprus for domestic use

• Expanding offshore and onshore processing facilities

The Cypriot government is evaluating infrastructure projects to facilitate energy exports and strengthen its role in regional energy security.

Regional Energy Strategy

Cyprus is becoming a key European energy hub, attracting major companies like ExxonMobil, Eni, and Total to its exclusive economic zone (EEZ). Discussions are also underway with Persian Gulf energy firms to expand exploration efforts. The successful development of these gas reserves could provide Europe with an alternative energy source, reducing dependency on Russian energy supplies and enhancing regional energy security.