British gas producer Energean has announced the signing of a Letter of Intent (LOI) with Cyfield, a Cypriot industrial and energy group, for the potential supply of natural gas to Cyfield’s planned power plant in the Mari area of Larnaca, in Cyprus (Energean press release, 03/11/2025).
- Following the LOI, Energean has proposed to the governments of Cyprus and Israel the export of natural gas from Israel to Cyprus via a new subsea pipeline.
- Under the proposal, Energean would design, construct, own, and operate a pipeline connecting the FPSO “Energean Power”, currently producing in Israeli waters, directly to Cyprus.
The US$400m pipeline , which could be fully financed by Energean, would have a capacity of 1 bcm/year, sufficient to meet the Cyfield project’s needs and potentially supply additional gas to the island if required, according to Energean.
The company estimates that gas could begin flowing through the pipeline within 12 months of receiving government approvals. Israel has already expressed its support, and Energean is awaiting a response from Cypriot authorities.