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Gas News

GAS News

It is quite understandable that the geographical position of Cyprus with natural gas reserves, may to solve the Cyprus issue, as well as faster recovery of the economy and sales growth in the property sector.

However, the huge hydrocarbon management company ΤΟΤΑL, he turned to leave the island last week, but today changed the scenery ...

The government may still have a small window to get oil major Total not to call off a search for oil and gas, after the company let it be known it had identified no drilling targets in its two offshore concessions.

An announcement on Total’s plans is expected next week.

By extending the multinational’s contract beyond 2016 – when its concession on two offshore blocks runs out – the government could give Total some room for manoeuvre, suggests hydrocarbons expert Charles Ellinas.

It’s understood Total is contractually obligated to drill two wells, one in each of their concessions, by 2016 or risk paying a penalty, reportedly as high as 10 per cent of the drilling costs.

But the corporation would be inclined to swallow the pill and pay the fee to halt its Cyprus operations, as the penalty is small change compared to the enormous expense of drilling two .

The solution of the Cyprus issue is now linked directly to the stocks of the underwater wealth of Cyprus and should immediately take decisions on the separation of wealth in order to get development across the island and the two main areas ... Tourism and sector property market.

But the energy minister quashed the speculation with a simple argument: he pointed out that the company informed the government it was rethinking its presence on September 12, well before Turkey issued a NAVTEX on October 3 reserving swathes of Cyprus’ exclusive economic zone for seismic surveys.

Also commenting on developments with Total yesterday was Archbishop Chrysostomos who said he was certain the company was not leaving Cyprus “only its programme has differentiated”.

Sk Webline Ltd
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