Worley Gets FEED Contract for $4B Cyprus Gas Field Project Amid Region War Chaos

Company unit Chevron Cyprus Ltd. operates the sector, which holds an estimated 3.5 trillion to 4 trillion cu ft of pure fuel plus condensate following its 2011 discovery by Noble Power, now a unit of the U.S. mother or father.

In awarding the FEED contract, Chevron, which has a 35% share of the event together with Shell’s equal share and Israel-based NewMed Power with 30%, have signaled an intention to proceed to the next-phase. The front-end work is ready to complete In December and a venture ultimate funding choice is deliberate for January 2027. 

“We’re joyful that Chevron has lastly determined to proceed with the event of the Aphrodite subject,” a supply within the Cyprus vitality ministry instructed ENR. 

Governments of Cyprus and Egypt have signed preliminary agreements for fuel provide, with a subsea pipeline aimed to feed many of the quantity into the Egyptian grid and the stability processed into LNG for re-export.

In an announcement, Worley stated its work will cowl “the total Aphrodite subject growth, together with a portion of the subsea methods, floating manufacturing unit, export fuel pipeline and onshore receiving services,” in addition to tools procurement.

The award seems to progress a venture favored by Cyprus for the reason that subject discovery to produce fuel for its personal energy era, for Egypt and for the European market. The nation is a European Union member. Growth funding has confronted obstacles that embrace Aphrodite’s distance from the Cyprus shore, the subsea pipeline price to that nation and the island’s small fuel market.

Chevron purchased Noble Power in 2020 for $5 billion, with growth plans for Aphrodite solely now realized. Noble additionally had found and was a developer of the Tamar and Leviathan fuel fields offshore of Israel, with an estimated 900 billion cu meters of fuel reserves mixed and manufacturing underway since 2013 to produce the Israel home market, and exports to Jordan and Egypt.

However earlier this month, within the wake of the Israel-U.S.-Iran Battle, Chevron declared pressure majeure on the Leviathan subject after the government ordered a temporary suspension of manufacturing on safety grounds. Reuters stated Feb. 28 that the nation’s vitality wants could be met via various sources.

The shutdown comes simply weeks after Chevron announced in January a ultimate funding choice for an estimated $2.36 billion Leviathan growth, with manufacturing set to extend to 21 billion cu m per yr by 2030 from 12 bcm now. Tamar produces about 10 bcm at the moment.

Chevron stated on the time, that the plan “displays our confidence in the way forward for vitality within the area.” 

Cyprus Provide Chain Develops

In the meantime, two teams have submitted bids to produce the Cyprus floating manufacturing unit—Singapore-based Seatrium (shaped by the merger of Sembcorp Marine and Keppel Offshore & Marine), and a South Korean group comprised of Hanwha Ocean, Hyundai Heavy Industries and Samsung Heavy Industries. Subsea7 and Stena Drilling are competing for subsea development and pipeline set up contracts.  

Whether or not present schedules maintain is unclear, however development work is ready to start in 2027 and end in 2031 with first fuel manufacturing in 2032.

“Worley acquired the contract, however there’s a great distance earlier than FID,” Charles Ellinas, an professional on East Mediterranean oil, fuel and geopolitics as CEO of EC
Cyprus Pure Hydrocarbons Firm Ltd. and a former managing director
at Mott MacDonald instructed ENR. “No matter occurs, Chevron won’t transfer to the following step till venture returns fulfill its targets. So, I count on delays.”