Chevron and Egypt sign Aphrodite gas fiscal agreement
CVX•Egypt and Chevron initialled an agreement setting out financial and commercial terms for linking Cyprus’s Aphrodite gas field to Egyptian infrastructure. The planned link could send gas to Egypt for domestic use or processing and liquefaction for export.
1. Terms for gas link
Egypt and Chevron, operator of the Aphrodite field, initialled an agreement setting out financial and commercial terms for a planned link to Egyptian gas infrastructure. Aphrodite is in front-end engineering and design work ahead of a potential final investment decision, a Chevron spokesperson said.
2. Potential gas routes
Egypt’s petroleum ministry said the link would allow Aphrodite gas to be shipped to Egypt for domestic use or processing and liquefaction for export, depending on market demand and project economics. The agreement follows a 15-year binding term sheet signed in April between Aphrodite’s partners and Egyptian Natural Gas Holding Company for the sale of all recoverable gas.
3. Aphrodite ownership
Chevron holds a 35% stake in Aphrodite, as does Shell, while NewMed Energy holds 30%. Shell agreed in July to sell its Cyprus unit, including its Aphrodite stake, to Hungary’s MOL, subject to approvals and other closing conditions.
