Egypt signs deal with ExxonMobil, QatarEnergy to explore Cyprus gas link via LNG facilities

Egypt signed a memorandum of understanding with ExxonMobil and QatarEnergy on Wednesday to explore exporting Cypriot gas through Egyptian liquefied natural gas (LNG) facilities, as Cairo seeks to expand its role as a regional energy hub.

Prime Minister Moustafa Madbouly attended the signing ceremony in the New Capital alongside Petroleum Minister Karim Badawy and executives from both companies.

The agreement will examine the use of Egypt’s liquefaction and export infrastructure and develop a commercial framework for routing potential Cypriot gas through the country, according to a government statement.

Madbouly said Egypt’s gas infrastructure gives it a competitive advantage in receiving output from Cypriot discoveries and re-exporting it to global markets.

Petroleum Minister Karim Badawy said the ministry had been working with ExxonMobil to evaluate options for monetising Cypriot gas discoveries through Egypt’s LNG facilities. He added that ExxonMobil and QatarEnergy operate in both Egypt and Cyprus, supporting deeper investment cooperation.

He said the memorandum builds on previous agreements with Eni, TotalEnergies, Chevron, and Shell to explore export routes for Cypriot fields, including Cronos and Aphrodite.

The ministry said the agreement could support the development of Cypriot gas fields, lower production costs, and allow Egypt to generate revenue through re-exports and domestic industrial use, including petrochemicals and fertilisers.

Attribution: Amwal Al Ghad English