Aphrodite Development
FEED & Path to FID
Aphrodite is one of Cyprus's two lead gas projects. Its development plan was approved in February 2025, FEED began in December 2025, and in April 2026 the partners initialed a 15-year term sheet with Egypt's EGAS for the field's entire output. FID has not yet been taken — it is targeted for late 2026 to 2027, with first gas around 2030-31.
Updated July 2026 · Sources: NSAI, MECI, NewMed Energy
Development Progress
Updated July 2026 · Sources: MECI, NewMed Energy, company disclosures
Current Phase: FEED & Path to FID
With the development plan approved and key Egyptian offtake terms initialed, the project is in front-end engineering ahead of a final investment decision targeted for late 2026 to 2027:
1. Development & Production Plan
Approved Feb 2025Cyprus approved the updated plan and amended the production sharing contract on 14 February 2025: a floating production unit in the Cyprus EEZ, four initial production wells, an export pipeline to Egypt and a nominal capacity of around 800 MMcf/d, at an estimated total field cost of roughly $4 billion. NSAI's resource update (effective 28 February 2026) certifies 2C contingent resources of 2,881 Bcf (~2.9 Tcf) for the sanctioned phase, plus ~784 Bcf classed as development unclarified (~3.7 Tcf total) and 6.3 MMbbl of condensate.
2. Egypt Gas Sales Terms
Term Sheet Apr 2026In April 2026 the partners initialed (not yet finalized) a 15-year term sheet with EGAS covering the field's entire output — around 700 MMcf/d (~7.2 bcm/yr), Brent-linked — delivered via a new ~$2 billion subsea pipeline to Port Said, feeding the Egyptian grid and LNG plants with potential re-export to Europe. A Host Government Agreement for the transmission project was agreed alongside, and on 19 May 2026 the Cyprus cabinet approved the basic Gas Sales Agreement terms. Final GSAs are still to be signed.
3. FEED & Final Investment Decision
In ProgressPartners approved FEED on 23 December 2025 (~$105.7 million of a $111.5 million 2026 budget). FID has not been taken: Egypt is pushing for September 2026, while Cyprus Energy Minister Michael Damianos (30 June 2026) targets December 2026 to January 2027. NewMed conditions FID on FEED results, pipeline commercial arrangements and final gas sales agreements. Pipeline construction is planned from 2027, with first gas to Port Said around 2030-31.
Technical Readiness
Completed
- ✓ 3D seismic acquisition & interpretation
- ✓ Discovery & appraisal wells (2 wells)
- ✓ Reservoir modeling & NSAI resource certification (Feb 2026)
- ✓ Development plan government approval (Feb 2025)
- ✓ EGAS term sheet initialed; GSA terms cabinet-approved (Apr-May 2026)
Pending FID
- ○ FEED completion (underway since Dec 2025)
- ○ Final gas sales agreements & pipeline commercial arrangements
- ○ Final Ishai (Israel) unitization deal — in-principle agreement Jan 2026
- ○ EPC contract awards (subsea, pipeline)
- ○ Long-lead equipment ordering
- ○ Construction vessel booking
- ○ Production license issuance
Risk Factors
Commercial Risks
Monitored- • Egypt capacity constraints/availability
- • LNG price volatility affecting GSA terms
- • Partner alignment on investment
- • Financing market conditions
External Risks
Monitored- • Geopolitical tensions in region
- • Regulatory/permitting delays
- • Supply chain constraints
- • Turkey maritime disputes
Next Steps to First Gas
Aphrodite in the News
Shell to sell BG Cyprus and Aphrodite gas stake to MOL Group
Shell has agreed to sell its wholly-owned subsidiary BG Cyprus and its Aphrodite gas field stake to MOL Group for up to $720m.
MOL buys Shell stake in Cyprus gas field for $720m
Hungary’s MOL has signed an agreement to acquire BG Cyprus, a 100% subsidiary of supermajor Shell, which holds a 35% non-operated interest in the Aphrodite gas field in the eastern Mediterranean. This acquisition is the biggest E&P growth opportunity for the company since acquiring a 9.57% stake ...
Shell exits Cyprus Aphrodite gas field in $720m deal
Energy company Shell said on Friday it had agreed to sell its BG Cyprus unit to Hungarian oil and gas firm MOL Group for up to $720 million, as the British oil major sharpens its focus on LNG operations. BG Cyprus’ 35 per cent non-operated interest in a Cyprus Offshore block, home to the Aphro...
Shell Agrees $720M Sale of Cyprus Gas Unit to MOL Group
Shell has agreed to sell its wholly owned subsidiary BG Cyprus to MOL Group for up to $720 million, giving the Hungarian energy company a 35% stake in Cyprus' Aphrodite offshore gas field…
MOL to acquire Shell’s Aphrodite gas field stake for up to $720m
Shell has agreed to sell its BG Cyprus unit to Hungarian oil and gas firm MOL Group for up to $720 million, Reuters reported, as the British energy major sharpens its focus on LNG operations. BG Cyprus’ 35% non-operated interest in a Cyprus Offshore block, home to the Aphrodite gas field in the e...