Cypriot government officials have admitted that there have been difficulties in the talks with Noble Energy, apparently over the government's stake in the project.
The Cypriot media reports that the liquefied natural gas (LNG) plant due to be built on the island's southern coast is facing delays. Government officials deny the reports, saying that the negotiations on the plant with Noble Energy Inc. (NYSE: NBL) were progressing normally.
Cypriot government officials have admitted that there have been difficulties in the talks, apparently over the government's stake in the project.
"Globes" recently reported that Cyprus has asked Israel to agree that some of the natural gas from Leviathan be sent to the Cypriot LNG plant. Cyprus needs Israeli gas because the gas discoveries in its own waters do not justify the cost of building a small LNG plant with two production lines.
Cyprus has had only one natural gas discovery to date, the Aphrodite discovery (Block 12) of 4-5 trillion cubic feet, located near Leviathan. Leviathan partners Noble Energy and Delek Group Ltd. (TASE: DLEKG) also own the rights to the Aphrodite.
Published by Globes [online], Israel business news - www.globes-online.com - on November 20, 2013
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