Cyprus shipping firms seek role in Kronos gas development

Cyprus-based shipping companies are seeking a role in the development of the Kronos offshore gas field, following discussions between the Cyprus Shipping Chamber (CSC) and Eni Cyprus on maritime services and future liquefied natural gas (LNG) exports. The chamber’s Offshore Activities Committee met representatives of Eni Cyprus on Friday, October 16, to discuss the company’s development plans for the gas field in Block 6 of Cyprus’ exclusive economic zone (EEZ) and opportunities for the island’s shipping industry. Eni was represented by logistics manager Fadi Sayde, procurement manager Salman Ali Syed and senior contracts engineer Foteini Ioannou. According to the chamber, discussions focused on the potential participation of Cyprus-based shipping companies in offshore operations, the provision of maritime services and activities associated with future LNG exports. The meeting follows the final investment decision taken by Eni and TotalEnergies on July 28, 2026, formally approving the development of Kronos and setting a target for the first Cypriot gas to reach international markets in 2028. Eni operates the field with a 50 per cent stake, while TotalEnergies holds the remaining 50 per cent. Discovered in 2022 and successfully appraised in 2024, the field is located approximately 185 kilometres southwest of Cyprus and contains more than 3 trillion cubic feet of gas initially in place. The development will involve four subsea wells, with production expected to reach 500 million cubic feet per day, equivalent to approximately 2.8 million tonnes of LNG annually. Preparations have already progressed to the awarding of major offshore contracts. In September, Eni Cyprus awarded US engineering company McDermott a subsea contract covering project management, engineering, procurement and installation support. McDermott classified the agreement as substantial, placing its value between $500 million and $750 million. The company also referred to the importance of local partnerships in delivering the project, with operations supported by its specialised marine construction fleet. Further progress followed on September 15, when US energy services group Halliburton announced a multi-year contract with Eni for drilling, well construction, automation and completion services. Halliburton said its established infrastructure and regional capabilities in Cyprus would provide logistical support for the offshore campaign. Under the development arrangements, gas produced from Kronos will be transported through an underwater pipeline to Egypt’s Zohr facilities for processing, before being transferred to the Damietta LNG terminal for liquefaction and export, primarily to European markets. The export framework was established through an agreement signed by Cyprus, Egypt, Eni and TotalEnergies in February 2025, followed by further commercial arrangements governing the use of Egyptian infrastructure. The project is expected to become Cyprus’ first commercial offshore gas development, with the use of existing facilities in Egypt allowing production to begin without constructing a separate LNG export terminal on the island. For Cyprus’ shipping industry, the development presents potential opportunities in offshore vessel support, maritime logistics and related services, although no specific contracts for Cyprus-based shipping companies were announced following Friday’s meeting. The chamber reiterated its commitment to strengthening cooperation between the island’s shipping sector and companies involved in offshore energy development. Eni has been active in Cyprus since 2013 and, beyond Block 6, operates Block 8 and holds participating interests in Blocks 7 and 11, which are operated by TotalEnergies.