The Republic of Cyprus follows a consistent and multidimensional energy policy, said the Minister of Energy, Commerce and Industry, Michael Damianos, on Wednesday, noting at the same time that the next two years are expected to be decisive for the future of the Cypriot energy strategy.
Damianos was addressing the World Conference of Diaspora Cypriots, which takes place in Nicosia.
‘Cyprus is today at a pivotal point in its energy journey. Developments in the Eastern Mediterranean create major challenges, but at the same time open up new prospects and entail significant responsibilities,’ the Minister of Energy pointed out, adding that ‘in an environment of increased geopolitical uncertainty, energy has emerged as a decisive factor in economic development, regional cooperation and strategic security.’
For this reason, he continued, ‘the Republic of Cyprus follows a consistent and multidimensional energy policy, which aims to reduce energy costs, strengthen security of supply and utilize domestic potential.” “It is based on cooperation, respect for international law and the building of strong regional and international partnerships,’ he noted.
In this context, he said, ‘the 3+1 cooperation scheme between the Republic of Cyprus, Greece, Israel and the United States acquires particular importance.’ As he explained, ‘this is an initiative that in recent years has evolved into a substantial mechanism for political and technical dialogue, with the aim of promoting energy cooperation, security and stability in the Eastern Mediterranean.’ ‘In order to effectively address common challenges, it extends beyond hydrocarbons and covers Renewable Energy Sources (RES), electrical interconnections, new technologies and energy innovation, contributing to the creation of an integrated and interconnected energy ecosystem in our region’, he stressed.
At the same time, Michael Damianos noted that ‘recent developments in the United States and especially in Houston confirm the momentum that this cooperation has gained’. ‘During the Ministerial Meeting of the 3+1 format’, he added, ‘the common will of the four countries to promote initiatives that enhance energy security and regional cooperation was reaffirmed’. To this end, he said, “it was agreed to hold regular contacts at the level of service working groups, with the aim of drawing up a Roadmap for Cooperation of the 3+1 Energy Dialogue, which is expected to be approved within this year.”
“Of particular importance was also the launch of the Eastern Mediterranean Energy Centre at the Baker Institute of Public Policy at Rice University, in Houston,” said the Minister of Energy, adding that “the Centre aspires to become a hub for cooperation and exchange of know-how and best practices between governments, academic institutions, research centres and the energy industry.”
‘For Cyprus, this Centre can be an important tool for addressing challenges related to the energy transition, strengthening the integration of RES in our energy mix, energy storage and strengthening the competitiveness of the electricity market’, he pointed out.
At the same time, Damianos said that the contacts he made in the United States ‘confirm the particularly positive climate that prevails in Cyprus-US relations in the energy sector, but also in general’.
He added that ‘energy cooperation in the Eastern Mediterranean is gaining even greater importance in light of recent geopolitical developments’, stressing that ‘the need to diversify energy supply sources and routes has become more urgent than ever’.
He pointed out that ‘Cyprus, as a member state of the European Union and a reliable partner in the Southeastern Mediterranean, seeks to play a leading role in shaping this new energy landscape’.
The Minister of Energy further said that ‘over the last fifteen years or so, the hydrocarbon exploitation program of the Republic of Cyprus has recorded significant successes, with six natural gas discoveries in our country’s Exclusive Economic Zone (EEZ) and estimated reserves amounting to approximately 20 trillion cubic feet’. These discoveries, he noted, ‘confirm the significant energy potential of Cyprus and strengthen the role of the Eastern Mediterranean as a reliable alternative source of supply for Europe’.
‘Today, the Cypriot hydrocarbon program is entering a new, particularly critical phase, during which the discoveries are gradually turning into development and production projects’, he pointed out.
‘The ‘Kronos’ field, in Block 6, is the most mature project in our programme, with the licensed consortium of Eni and TotalEnergies officially announcing, just yesterday, the adoption of the Final Investment Decision’, stressed Damianos, adding that this was preceded by the approval of the Development and Production Plan of the field by the Council of Ministers in May 2026, as well as the granting of the Hydrocarbon Exploitation License to the consortium in June 2026.
Based on the current plan, the start of production is expected in 2028, which will make ‘Kronos’ the first field in the Republic of Cyprus to be exploited commercially, explained the Minister of Energy, noting that the natural gas will be transported via subsea pipelines to the infrastructure of the ‘Zohr’ field in Egypt and, subsequently, will be liquefied at the LNG facilities in Damietta with the European markets being the main destination.
At the same time, he added that the Final Investment Decision of Chevron, NewMed Energy and BG Cyprus for the ‘Aphrodite’ field, in Block 12, is expected in 2027. ‘Its development foresees the installation of a floating production unit in the Cypriot EEZ and the transportation of natural gas to Egypt for domestic consumption and liquefaction, with the start of production scheduled for early 2030’, he said.
Referring to Block 10, Damianos said that ExxonMobil and QatarEnergy are currently in the process of evaluating the development options of the ‘Glafkos’ and ‘Pegasus’ fields and are expected to submit a Development and Production Plan in early 2027. At the same time, he noted that the consortium has expressed interest in new research opportunities in Blocks 4 and 10A of the EEZ of the Republic of Cyprus, ‘an event that constitutes another strong vote of confidence in the prospects of our country in the energy sector.’
‘The next two years are expected to be decisive for the future of the Cypriot energy strategy. The critical developments underway in the context of the development of natural gas fields create the conditions for Cyprus’ transition from the discovery phase to the production phase, strengthening its geostrategic role and its contribution to European efforts for secure and diversified energy supply’, he indicated.
However, the Minister of Energy stressed that the energy policy of the Republic of Cyprus is not limited to the development of hydrocarbons, noting that ‘our country consistently promotes the transition towards a more sustainable, competitive and resilient energy model’.
At the same time, Damianos pointed out that ‘the Cypriot diaspora are valuable allies and the best ambassadors in the effort to promote our country as a reliable energy and investment partner on the international stage’.
‘Cyprus today has all the characteristics that allow it to play an important role in the energy future of the Eastern Mediterranean: stable institutions, a clear strategic vision, strong international partnerships and an increasingly mature energy ecosystem’, he said.
CNA/PH/EPH/2026S, CYPRUS NEWS AGENCY