A proposal of a whopping four billion dollars in cost submitted for the Aphrodite gas fiel
Source: in-cyprus.com
A consortium of global energy giants made up by American companies Chevron and Shell, along with Israeli firm New Med Energy has filed a revised proposal for the commercial development of the offshore Aphrodite gas field in the Republic of Cyprus Exclusive Economic Zone, as announced at the Tel Aviv Stock Exchange.
As Philenews reports, the proposal indicates that the consortium is going back to the provisions of the 2019 agreement, conceding the use of a floating production storage and offloading unit (FPSO) over the field, as well as operating four production wells.
The Aphrodite natural gas will flow through a pipeline to Egypt.
The Tel Aviv Stock Exchange was also informed of the staggering cost of this enterprise, mainly involving the constructing of the four wells, to the tune of 4 billion dollars, further indicating that the position of the Republic of Cyprus on this revised proposal, is currently unclarified.
Energy experts in Cyprus and Greece have described the estimated cost from the range of the excessive to the downright unrealistic, indicating that it will ultimately deter the investment itself and hinder profitability for both parties. Comparison is made with similar or more efficient infrastructure currently used in the wider region by other companies.
The revised proposal will be subject to negotiation with the Ministry of Energy in a process of verifying and redefining individual expenses that sum up this massive cost.
The original article: belongs to in-cyprus.com .
