Aphrodite gas field project advances with new memorandum

NewMed Energy, Chevron, Shell, the Cyprus Hydrocarbons Company (CHC), and the Egyptian Natural Gas Holding Company (EGAS) have signed a memorandum of understanding (MoU) regarding the sale of natural gas from the Aphrodite field. The field is located within Cyprus' exclusive economic zone. The signing was officially confirmed in filings to the Tel Aviv Stock Exchange and the Israel Securities Authority. This agreement establishes a framework for gas exports to Egypt, where the fuel will be processed using existing liquefaction infrastructure. The project partners must now finalize a Host Government Agreement (HGA) with the Egyptian government to develop the necessary transportation network. Negotiations for a binding gas supply contract are still ongoing, meaning the current MoU is not a final commercial agreement. Once operational, the gas is intended to meet Egypt's domestic demand and support potential exports to international markets, including Europe. This approach avoids the need for constructing new export facilities within Cyprus.