Page 7 - AfrElec Week 36

AfrElec COMMENTARY AfrElec

and Africa, and it will give Cyprus a means of Government of National Accord (GNA), based
converting its as-yet undeveloped gas resources in Tripoli and recognised by the UN, and has
into LNG that can be sold anywhere in the world. provided military support in the form of both
It will also be able to provide Iraq with another troops and materiel. Meanwhile, Cairo is back-
means of delivering its oil to the Mediterranean ing the rival Libyan National Army (LNA),
market. At the same time, it can continue to push headed by Khalifa Haftar, and has said it may
forward with the development of its own energy send some of its own soldiers into the country.
resources, including offshore gas fields such as If these conflicts heat up, Egypt will be hard-
Zohr and solar farms such as the 1,650-MW pressed to achieve its aims. It may have to delay
Benban facility. work on planned undersea pipelines and trans-
mission cables if Turkey actively contests its right
Greece, Libya and other hazards to operate in disputed territory. Likewise, it may
Nevertheless, the country will be operating in a have to divert funds and resources to Libya if the
complex geopolitical environment. conflict in the country heats up.
Tensions have risen in the region since last Meanwhile, there are other factors at work,
year, when Turkey and Libya signed a maritime according to Ian Simm, principal advisor at con-
agreement outlining their territorial claims in sultancy IGM Energy.
the Eastern Mediterranean. The document has Speaking to NewsBase about the planned
drawn a sharply negative response from Greece, pipeline for gas from the Aphrodite field,
which has very different ideas about where the Simm commented: “The timing of the pipeline
boundary lines should be drawn. It has also exac- announcement is curious, given that construc-
erbated long-standing disputes between Cyprus tion work began in July on Cyprus’ Cynergy
and Turkey, especially now that the latter has FSRU [floating storage and regasification unit]
begun shooting a new seismic survey in waters and LNG terminal. However, it supports Cai-
near the former. ro’s ambitions of becoming an energy hub and
Additionally, it has inspired Greece and Egypt would provide Cyprus with access to the Egyp-
to draw up their own maritime accord. That doc- tian market and beyond. Perhaps the thinking in
ument, which was signed in early August, pits Nicosia is that the two projects offer diversified
both countries against Turkey, as it outlines ter- sales opportunities, with Cynergy also capable
ritorial claims that contradict the 2019 maritime of receiving LNG cargoes. While the pipeline
agreement. is expected to take gas solely from Aphrodite,
At the same time, Egypt is already at odds Cyprus also has 3-5tn cubic feet [85-142bn cubic
with Turkey in Libya, which remains mired metres] of gas reserves at Calypso and another
in civil conflict. Ankara has supported Libya’s 5-8 tcf [142-227 bcm] at Glaucus.”™

Week 36 10•September•2020 www. NEWSBASE .com P7