NOBLE Energy broke ground yesterday in exploratory drilling for natural gas off Cyprus’ southern coast, as the government again defended the Republic’s right to exploit the country’s natural resources.
The drill of the ‘Homer Ferrington’ oil rig penetrated the seabed, at a sea depth of 1,700 m, said Energy Service director Solon Kassinis.
Drilling would continue to the depth of around 5.8km below sea level, and the process could take up to two or three months, he said.
“It’s going well, without any glitches,” Kassinis told the Cyprus Mail.During this time samples will be taken from the bedrock and analyzed for their hydrocarbon content and quality.
Once the process is complete, the borehole is sealed with cement. If the samples are promising, the borehole would be reopened for commercial extraction at a later date.
Drilling is taking place in a field designated as Block 12 (or “Aphrodite”); energy officials say it could hold up to 10 trillion cubic feet of natural gas.
Texas-based Noble Energy holds the exploration concession for Block 12 that lies very close to a gas field in Israeli waters.
Noble's Israeli partner, the Delek Group, has an option to participate in the Cypriot project.
Delek subsidiaries Avner Oil and Gas LP and and Delek Drilling LP have just received a precedent-setting provisional licence to invest in the Cypriot oil and gas exploration projects. The two companies have an option to buy 15 per cent each of Cypriot offshore Block 12 concession from Noble Energy.
The Cypriot government will have to give Avner and Delek Drilling permission to exercise their option to the concession.
According to business website Globes, Israeli authorities have banned Avner and Delek Drilling from investing in foreign projects due to concerns that their controlling shareholders will abuse the difference between their knowledge and other investors' knowledge about developments in foreign markets. For this reason, the companies' permit is provisional and limited to Cyprus.
Kassinis confirmed yesterday that Noble has asked Cypriot authorities for permission for Avner and Delek Drilling to exercise their option.
He said the request is being assessed by an advisory panel to the Commerce Ministry. Final decision rests with the Cabinet.
Turkey has threatened to send gunships to protect its own planned exploratory work off the island’s northern coastline.
Acting government spokesman Christos Christofides said the President and the government are “closely monitoring developments and are taking all the necessary steps to ensure that our efforts proceed unhampered.”
Appealing for calm in the face of Turkish actions in the eastern Mediterranean, Christofides said there was no cause for “unnecessary alarm” and called on the media to play their part.
Reiterating that Cyprus is well within its rights to explore for hydrocarbons, Christofides added that the Republic has had the unequivocal backing of the international community on this.
The President and the administration would continue efforts overseas to build “a shield” of international support around Cyprus, he said.source: www.cyprus-mail.com
