French energy giant Total has agreed to continue its exploration of Cyprus’ Exclusive Economic Zone (EEZ), following its extended deliberations with the local Government.
In January, Total revealed its intention to terminate its operations on the island, due to its inability to locate drilling target areas. The company had paid for the license for blocks 10 and 11 of the EEZ after signing two production sharing contracts with the Ministry in 2013, beginning thereafter seismic exploration for oil and gas in block 10, and in parts of blocks 6, 7 and 11.
The Cypriot Government continued, however, to hold talks with Total officials with an aim to striking a continuation of the cooperation agreement. These efforts have now come to fruition, as Minister of Energy Yiorgos Lakkotrypis signed such an agreement with the General Manager of Total E&P Cyprus B.V., Jean-Luc Porcheron yesterday.
The contract will see Total continue to explore the island’s hydrocarbon reserves in order to further assess the prospect of commercial exploitation of block 11.