ENERGY: New EUR 250 mln industrial Cyprus port expected by 2023

Construction of a new industrial port at Vasiliko, to be operational by 2023 as a service centre for the burgeoning oil and gas industry in Cyprus, will cost an estimated Euros 250 mln.

Minister of Transport Vassiliki Anastassiadou told CNA, that the Ministry was in the process of appointing a consultant to prepare the tender documents for the project.

The purpose of the tender is to choose an investor to undertake the expansion of the existing Vasiliko port by design-build-finance-operate-transfer (DBFOT) method. The Ministry aims o to begin the procedures as soon as possible.

Cost of the port will be higher than originally estimated, since a larger port needs to be built, following the increased demand from oil and gas companies and companies providing supporting services for the industry not only in Cyprus but also in neighbouring countries.

From an initial calculation, it is estimated that the cost of expansion will be around Euros 250 mln.

“The cost will be higher from what we were initially estimating, because the port will be bigger. There is demand from companies operating in oil and gas industry and this will be the main purpose of this port, to serve and support the oil and gas industry and generally obnoxious cargoes, that cannot be served in other ports, said Anastassiadou.

She said, this would be the industrial port of Cyprus for which there would be relevant standards.

Until 2023, oil and gas companies will be operating in the port of Limassol, however its capacity is limited, especially in case of an increase in the activities especially as exploration and exploitation intensifies.

Last month, ExxonMobil announced the largest Cyprus offshore gas find estimated at 5-8 trillion cubic feet, and its intention for further drilling in the Cypriot Exclusive Economic Zone (EEZ), while ENI and Total are planning a new drill phase to involve five wells.

Source: The Financial Mirror