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Second Licensing round for the prospection, exploration and production of hydrocarbons in the Cyprus EEZ

Second Licensing round for the prospection, exploration and production of hydrocarbons in the Cyprus EEZ

US firm, Noble Energy Corporation, which was granted a licence to explore in one of the 13 plots (no 12) for hydrocarbons in the Cyprus EEZ, betweenIsraelandCyprus, recently announced a very large deposit of natural gas of over 7 trillion cubic feet. According to the available data there are further deposits in many of the other plots and it is understood that oil deposits are also present in the area.
The Cyprus Council of Ministers has now authorised the Minister of Commerce, Industry and Tourism to proceed with all necessary actions for the launching of the 2nd hydrocarbons licensing round offshoreCyprus for the remainder of the plots. The Cyprus Hydrocarbons (Prospection, Exploration and Exploitation) Law of 2007, which is in line with the relevant EU Directive, outlines the procedure and the conditions for granting and using authorizations for the prospection, exploration and production of hydrocarbons.  The second licensing round will be held in accordance with the provisions of the said Hydrocarbons Law.
Currently all necessary documents for the launching of the 2nd licensing round are being prepared by the Minister, and the Council of Ministers is expected to announce shortly, through a publication in the Official Journal of the European Union, an invitation for the submission of applications for the granting of authorization for the prospection and/or exploration and/or exploitation of hydrocarbons in the Cyprus EEZ.
Following the announcement in the Official Journal of the European Union, the process for the submission of applications will remain open for three months. All applications submitted will be evaluated by an Advisory Committee, which will then prepare reasoned opinions and a preparatory report on the applications that have fulfilled the appropriate criteria for the Minister. The Minister will in turn submit her opinion in relation to the applications and the preparatory report of the Advisory Committee to the Council of Ministers for the final decision.

Dr. K. Chrysostomides & Co LLC welcome any enquiries from interested parties that may wish to apply for a licence for exploration and production of oil and gas in the Cyprus EEZ, or are seeking involvement in any other related business activity. Our firm’s experienced Energy Law practice will ensure efficient and effective handling of any matter in the oil, gas, power and renewable energy markets.

Dr. Kypros Chrysostomides

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