Cyprus-Forum.com

[Lit]

Cyprus to Announce Second Oil and Gas Rights Round by End 2011

Jan 10, 2011 10:48 AM ET
http://www.bloomberg.com/news/2011-01-1 ... -2011.html

Cyprus will announce a second tender round for oil and gas exploration rights for its offshore territory towards the end of 2011, said Solon Kassinis, director of the Energy Service at the Ministry of Commerce, Industry and Tourism.

The licensing round for 12 blocks will be announced after Noble Energy Inc., which won a license in the first round in 2007, completes planned drilling work by October, Kassinis said today in a telephone interview in Nicosia.

Natural-gas reserves in the Cypriot sea block for which Noble Energy acquired a license may amount to 10 trillion cubic feet “based on our estimations,” he said.

Drilling tests at the Leviathan discovery in the offshore territory of neighboring Israel which borders Noble’s Cypriot block may contain as much as 16 trillion cubic feet of gas, Noble said on Dec. 29. Cyprus and Israel agreed on Dec. 17 a common boundary to their exclusive economic zones.

Cyprus, which is close to choosing a natural-gas supplier and a strategic partner for a planned liquefied gas terminal at Vasiliko on its southern coast, should consider becoming its own supplier of natural gas for the terminal or developing a petrochemicals industry, Kassinis said.

[Lit]

Cyprus eyes new oil/gas research round end-2011

http://af.reuters.com/article/energyOil ... dChannel=0

* Cyprus to offer 12 blocks for gas/oil search

* Noble (NBL.N: Quote) has to drill by 2013

* Estimates of 10 tcf in one block


NICOSIA, Jan 10 (Reuters) - Cyprus may launch a new hydrocarbons licensing round in the eastern Mediterranean this year, offering up to 12 blocks for oil and gas exploration, a senior official said on Monday.

Solon Kassinis, who heads the energy service of the Ministry of Commerce, Industry and Tourism, said Cyprus had encouraging indications of sizeable deposits. Neighbouring Israel has recently reported major gas finds in the east Mediterranean region.

In one Cypriot block already licensed to U.S.-based Noble Energy (NBL.N: Quote), there were indications of gas deposits in the region of 10 trillion cubic feet (tcf), Kassinis said.

"Nothing has been decided yet, but we expect a second (hydrocarbons) round towards the end of this year," Kassinis told Reuters.

The island has offshore blocks bordering Israel, where Noble and its Israeli partners recently made one of the world's largest deepwater gas finds in the past decade. [nLDE6BS1OF].

Cyprus launched its first licensing round in 2007. Under exploration rights given to Noble, it must start drilling work on the Cypriot plot between October 2011 and October 2013, Kassinis said.

"There are some assessments in the order of about 10 tcf, which is based on a geophysical assessment. There is nothing sure. If you don't drill you won't know," Kassinis said.

He said there were indications of what he described as "sizeable" deposits in the remaining offshore blocks.

Cyprus is currently in the process of selecting a liquid natural gas supplier to wean itself off heavy fuel oil. Energy minister Antonis Paschalides last week said Shell (RDSa.L: Quote) had made Cyprus the best competitive offer for a 20-year supply line costing around 4.5 billion euros ($5.8 billion).

Cyprus's aspirations of tapping potential offshore reserves are complicated by its tense relationship with neighbouring Turkey. Its northern neighbour invaded Cyprus's north third in 1974 after a brief Greek inspired coup, and now the island's Greek and Turkish Cypriot populations live on separate sides.

The area under exploration is controlled by Cyprus's internationally recognised Greek Cypriot government, which represents the island in the European Union.

Cyprus recently signed a deal with Israel to mark out their territorial waters and has an agreement with Egypt.

An agreement setting out sea boundaries, known as an economic exploitation zone, is pending ratification by Lebanon's parliament.

[Viewpoint]

Have these buggers found anything let alone brought it to the surface?

[Lit]

Have these buggers found anything let alone brought it to the surface?

Read the article. It states:

The licensing round for 12 blocks will be announced after Noble Energy Inc., which won a license in the first round in 2007, completes planned drilling work by October, Kassinis said today in a telephone interview in Nicosia.

[Get Real!]

I watched a couple natural gas related documentaries earlier today… from the laying of pipes on the ocean floors to the making and transporting of refinery stations.

One decent refinery station: $400M

The laying of a 12m pipe: $5,000 each (Around 83 p/Km needed)

Annual overall maintenance: $????


Conclusion: I don’t think we can afford this!

[wyoming cowboy]

GR, the amount of Natural gas alone approaches the reserves of Iraq, which has roughly the 10th largest natural gas reserves in the world. Not counting the petroleum that usually is discovered with the gas, the problem isnt if Cyprus can afford it, the question is will this lead Cyprus towards another abyss

[humanist]

wyoming cowboyr ..... there is that possibility that it will lead to an abyss. However, the opportunity is also available to us to make peace and for all to benefit. The key to this is held by the TC negotiators. They know exactly what we want and that is our human rights restored, the right of return one united Cyprus and same rights as every other EU citizen and not discriminated because of ethnicity or being a member of a perceived majority.

[B25]

The main benefit of getting the gas and petroleum out, is, we will be able to afford all those military toys that Turkey possess. We will build new friends wanting to do business and we will be financially strong enough to deal with most situations. Now, I wonder how much a couple of nukes from Russia would cost us?????

Seems countries that have them, have the least problems with invaders.

[Lit]

wyoming cowboyr ..... there is that possibility that it will lead to an abyss.

It will not if you have allies that defend your interests. Too bad the Box Head thinks his allies are the Jihadi militants.

However, the opportunity is also available to us to make peace and for all to benefit. The key to this is held by the TC negotiators. They know exactly what we want and that is our human rights restored, the right of return one united Cyprus and same rights as every other EU citizen and not discriminated because of ethnicity or being a member of a perceived majority.

I couldnt agree more. But the neo Ottoman mindset does not think like that. What is yours is his, and what is his is also his.

[All4114All]

I have a question about these rights for Oil and Gas Exploitation.
If the South Government is determined to find a solution to the Cyprus Problem don't you think we have enough on our plates to add another issue?
According UN resolution 1803 (XVII) "1. The right of peoples and nations to permanent sovereignty over their natural wealth and resources must be exercised in the interest of their national development and of the well-being of the people of the State concerned." So who are the people? Now if the 'state' without a settlement is only contributing to the wealth of South Cyprus does this not go against UN Resolution? There are two communities constituting to the 'whole of Cyprus' for self-determination.