EastMed pipeline is commercially viable and technically feasible, according to a study presented in Brussels to the EU Directorate-General for Energy and the director generals of the Ministries of Energy of Cyprus, Greece, Israel and Italy.
According to the study conducted by EDISON, the estimated cost of EastMed is 6 billion dollars.
Relevant sources told CNA that after the presentation of the study, there was a discussion between the delegations of the four countries with the European Commission, in order to prepare the meeting of the Energy Ministers of the four countries and the EU Energy Commissioner Miguel Arias Cañete, scheduled for next May in Israel.
According to the presentation of the company, the EastMed pipeline, which will transfer Cyprus and Israeli natural gas, will be starting from the deposits of Levantine and will be headed offshore in Cyprus where there will be a gas compression station. Then the pipeline will go to Crete, where there will also be a compression station, and it will next move towards Peloponnese to end at the border with Italy and the IGI pipeline (Italy, Greece Interconnector).
The same sources have told CNA that the EDISON study shows that the conditions for the pipeline to be commercially viable and technically feasible are met, however, Cyprus wants to evaluate and further study it to confirm its conclusions.
“The first indications, however, are positive” the sources said.
“We do not just look at the current hydrocarbon discoveries but also at future discoveries, something that is very important”, the sources said, pointing out that it is important for the companies that explore for hydrocarbons to know that if they find new gas fields they will have ways to market the gas.
As mentioned, the implementation of the pipeline is both in the interest of Greece that will become a transit country, and Italy that would receive the gas. Cyprus and Israel as producing countries, will also benefit from the opening of another export destination.
A pre-feed study, carried out by project promoter IGI Poseidon in early December came to the same conclusions.