Gas rules around Mediterranian Sea

The global economic crisis has interrupted a 35- year run of steady and continous growth of the Cyprus economy. Although every european country figths with this crisis, Cyprus economy is expected to grow again in 2015. Serious investors will find may opportunities there: the largest investment projects are found in the energy and tourist sectors. A significant potential for investment in the coming year will be hydrocarbons and energy. According to he preliminary findings the first discowvery in the Aphrodite field in the block 12 in Cyprus EEZ is estimated to have alone a gross resource of 5 trillion cubic feet of natural gas. Cyprus is set to become a natural gas expolorer: in June 213 memorandum of understanding for working towards a final agreement for the development of an LNG terminal in VAssilikos has been signed between the Republic of Cyprus and Noble Energy, Delek Drilling and Anver Oil Corporation.

This is an ambitious project of stratgic importance and will comprise the largest investment in the history of Cyprus. The firs liquefaction train could be operational by late 2019 at a cost exceeding 5 billion USD. The site at Vassilikos  could accomodate up to a total of at least three such trains. Investments in hydrocarbon exploration and eport infrastructure will create opportunities for related industries, such as liquefaction plant and pipeline construction, supporting engineering industries, power generation and possibly chemical industries that could use the natural gas as feedstock. Cyprus offers and excellent location for providing ancillary services to the hydrocarbon industry in the wider eastern Mediterranean region. A new oil products import, storge and distribution terminal currently being constructed at Vassilikos is expected to be operated in 2014. The government is also prioritizing renewble energy sources aiming to reach 13% of final energy consumption by 2020. It appears that the primary growth will come through additional photovoltanic capacity, promarily due to the recent drop of the capital expenditure for this technology.