Cyprus deal to turn Egypt into major gas exporter to Europe
Egypt is hoping to rely less on natural gas imports after signing a deal with Cyprus to transport gas from the small Mediterranean island before it is liquefied in Egypt for exporting to European countries.
Oil and gas experts have expressed optimism about an agreement that was signed Sept. 19 between Egypt and Cyprus to establish a direct subsea gas pipeline that would transport gas from Cyprus’ Aphrodite gas field to Egyptian liquefaction stations for re-export to European countries.
The experts say that the agreement has settled the competition between Egypt and Turkey to supply natural gas to Europe.
“Now the competition is over. Egypt has managed to develop solid oil cooperation with Cyprus and will largely benefit from liquefying natural gas at its stations and then export it to Europe and other markets around the world,” Tharwat Ragheb, professor of petroleum engineering at the British University in Cairo, told Al-Monitor.
Ragheb said that Egypt and Turkey have competed to become a major gas hub in the Middle East and a top gas exporter to Europe. “Turkey reached a rapprochement in June 2016 with Israel and the two countries agreed to establish gas pipelines that can transport gas from Israel to Europe via Turkey. Nevertheless, it faced an obstacle — which is Cyprus — as these pipelines had to pass through Cyprus’ exclusive economic zone while the two countries are engaged in a historical conflict dating back to the Turkish invasion of Cyprus [in July 1974],” Ragheb added.
