Cyprus and Egypt signed on Monday an Agreement and a Memorandum of Understanding (MoU) for the Republic’s exclusive economic zone, described as milestones for the exploitation of natural gas deposits, as well as the further development of bilateral cooperation.

The energy agreements were signed today in Cairo, in the presence of the Presidents of the two countries, Nikos Christodoulides and Abdel Fattah al-Sisi, on the sidelines of the EGYPES 2025 gas exhibition, with the participation of companies operating in Cyprus EEZ.

“The MoU for the commercialization of “Aphrodite” gas field and the Host Country Agreement for the development of Block 6 of the EEZ, are a key step for the energy planning of the Republic and highlight the strategic role of Cyprus in the hydrocarbon sector,” a presidency press release issued here today says.

The MoU was signed between the Republic of Cyprus, Egypt and the licensees (Chevron Cyprus Limited, NewMed EnergyLP, BG Cyprus Limited) for the development of the “Aphrodite” gas field. The Memorandum establishes the framework for the effective commercialization of the natural gas from the field.

A Host Government Agreement was signed for the development of hydrocarbons in Block 6, which defines the framework within which the licensed consortium (ENI/TOTAL), as well as Egypt, as the Host Government, will work together for the commercialization of the natural gas deposits discovered within the block (Kronos, Zeus, Calypso).

According to the Presidency, “the agreements broaden the prospects for energy cooperation with Egypt, while contributing to regional stability and strengthening the geopolitical position of Cyprus in the Eastern Mediterranean.”

These two agreements, the press release reads, “signal the determination of the Republic to promote the sustainable exploitation of its natural resources, with the participation of renowned international energy partners, to strengthen its role as an energy hub in the Eastern Mediterranean and to ensure the maximum possible benefit for the Cypriot citizens, with the aim of achieving more competitive electricity prices and safeguarding the energy security of the island.”