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BG Group's LNG Facility At Idku, Egypt

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BG Group's LNG Facility At Idku, Egypt

Noble Energy (NBL +1.2%) agrees to sell a 35% stake in its gas exploration rights in waters off Cyprus to the U.K.'s BG worldwide, which includes the Aphrodite natural gas discovery, for $165M. Completion of the transaction is subject to certain regulatory approvals as well as customary closing conditions. Noble will maintain a 35 percent interest and continue operating the project.

"This is a very important development which highlights the confidence and prospects in Cyprus's exclusive economic zone from a company with such a large worldwide presence", said Lakkotrypis, referring to BG.

In June, Delek proposed a US$155 million agreement to acquire 19.9% from Noble in Block 12, however, no deal was made.

The company is continuing to work with the Cypriot government to finalize development plans for Aphrodite.

The company has recently commenced gas marketing efforts, primarily targeting customers in Egypt. This includes both "domestic purchasers and underutilized LNG plants", Elliott said in a statement.

In a statement, BG Group said that this upstream position provides a potential source of gas to Egypt, where the company holds equity in an LNG export facility at Idku and LNG offtake rights to lift 3.6 million tpy.

Cyprus' energy minister says the deal is an important step forward for the country's plans to supply Egypt with natural gas.

The Ministry of Energy, Commerce, Industry and Tourism announced on Monday it has received a request from Noble Energy worldwide Ltd for a farm-out agreement with BG global for a portion of its interest in Block 12 offshore Cyprus. Operated by Noble Energy, the Aphrodite gas discovery is approximately 170 kilometres south of Limassol.

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