By Bosphorus News Energy Desk
Eni signed the main development contracts for the Cronos gas field off Cyprus on October 26, moving the project into its execution phase. Republic of Cyprus President Nikos Christodoulides put the agreements' value at up to $1.8 billion. First gas is targeted for the first half of 2028, with exports planned through Egypt.
The signing took place at the Presidential Palace in Nicosia, attended by Christodoulides, Energy Minister Michael Damianos and Eni's chief operating officer for Global Natural Resources, Guido Brusco. The packages cover engineering, procurement, construction, installation and drilling.
Subsea Systems and Drilling Contracts
The work includes a floating control unit, subsea production and control equipment, control umbilicals, flexible and rigid flowlines, transport and installation, an onshore pipeline segment, and drilling and well-completion services.
Eni and TotalEnergies approved the project in a July 28 final investment decision. Monday's signing brought the principal work packages under contract.
McDermott announced a subsea engineering and installation award on September 8. Halliburton disclosed its drilling and well-completion contract on September 15.
First Gas Targeted for 2028
Eni operates Cronos in offshore Block 6 with a 50% stake; TotalEnergies holds the other half. Four subsea production wells are planned. Eni estimates more than 3 trillion cubic feet of gas initially in place, distinct from recoverable reserves, with plateau output of about 500 million standard cubic feet a day.
The development plan sends gas by subsea pipeline to Egypt for processing through existing infrastructure linked to the Zohr field, then to Damietta for liquefaction and export, mainly to Europe. Production and LNG shipments from Cronos have not begun.
Chevron-operated Aphrodite remains at an earlier stage. Egypt and Chevron initialed a financial framework on October 20, but binding commercial arrangements and a final investment decision are still outstanding.
Türkiye and Turkish Cypriot Positions
The Republic of Cyprus calls Cronos its first offshore gas development. Türkiye maintains that parts of Block 6 overlap its claimed continental shelf. Separately, the Turkish Cypriot Foreign Ministry has opposed hydrocarbon agreements reached without Turkish Cypriot participation, including the March 2026 Cyprus–Egypt framework.
Both positions predate the October 26 signing.
Sources: Eni, Republic of Cyprus Presidency, Republic of Cyprus Ministry of Energy, TotalEnergies, McDermott, Halliburton, TRNC Foreign Ministry, Bosphorus News review and reporting.