At a summit on Egypt's Mediterranean coast, the leaders of Egypt, Greece and Cyprus have reaffirmed their commitment to a project that would deliver Cypriot natural gas to European markets through Egyptian export infrastructure. The plan, discussed in the coastal city of El Alamein, is seen as a way to diversify Europe's energy supplies amid ongoing disruptions in the Gulf.
Egyptian President Abdel Fattah el-Sisi, Greek Prime Minister Kyriakos Mitsotakis and Cypriot President Nikos Christodoulides issued a joint declaration on Tuesday calling for the swift completion of the link between Cyprus's offshore gas fields and Egyptian processing facilities. The project, known as Cronos, is expected to begin production in 2028, according to Italian energy group Eni, which is developing the field alongside France's TotalEnergies.
A new Mediterranean gas corridor
The Cronos field, located in Cyprus's exclusive economic zone, holds more than 3 trillion cubic feet of additional gas, Eni said. The development involves four offshore wells and an undersea pipeline to Egypt, where the gas will be processed at existing facilities linked to the Zohr field before being liquefied at Damietta for export by ship.
On the day of the summit, engineering firm McDermott announced that Eni's Cyprus subsidiary had awarded it a contract worth between $500 million and $750 million for work on the offshore development. The contract follows the final investment decision taken by Eni and TotalEnergies on 28 July, with each company holding a 50% stake.
Using existing Egyptian infrastructure will reduce costs and speed up development, Eni said in July. The project is also expected to help restore regular LNG exports from Egypt, which have been erratic in recent years. At full production, Cronos is expected to supply the equivalent of around 2.8 million tonnes of LNG annually.
“This new gas route in the Mediterranean will contribute to Europe's energy security by diversifying its LNG supply sources,” said Patrick Pouyanné, chief executive of TotalEnergies, when the project was approved.
Greece's role as a gateway
Greek Prime Minister Mitsotakis outlined a possible onward route through Greece's Revithoussa and Alexandroupolis terminals, where LNG would be regasified and sent to southeastern and central Europe via the so-called Vertical Corridor. He said the gas “could, in theory” enter Europe through Greek facilities.
Greece would be one possible gateway rather than a compulsory stop. Eni said it would sell the gas primarily in Europe and other international markets, not exclusively to Greece. The Vertical Corridor is not a single pipeline but a network linking existing gas infrastructure running north from Greece through Bulgaria and Romania towards Moldova and Ukraine, allowing LNG arriving at Greek terminals to reach markets further inland.
The proposed route would keep shipments from Egypt to Greece within the Mediterranean, avoiding the Strait of Hormuz and the Red Sea, both of which have seen heightened tensions. It would carry newly produced Cypriot gas rather than reroute existing Gulf cargoes.
The push for alternative supplies comes as Europe prepares to end its remaining Russian gas imports. EU rules provide for a full ban on Russian LNG from the beginning of 2027 and on pipeline gas from autumn the same year. The International Energy Agency estimated in July that total LNG supply losses could reach 140 billion cubic metres between 2026 and 2030, with the biggest impact expected in 2026 and 2027.
Wider energy ties and regional tensions
The cooperation extends beyond gas. During bilateral talks on Tuesday, el-Sisi and Mitsotakis discussed plans to connect their countries' electricity systems, according to the Egyptian presidency. The proposed GREGY undersea power cable would carry renewable electricity from Egypt to Greece, with a planned capacity of 3,000 megawatts. Developer Elica Interconnector said the electricity could supply Greek industry and be exported to other European markets. All three leaders renewed their backing for the project in the summit declaration.
The trilateral partnership dates back to a first summit in Cairo in November 2014. The latest declaration also addressed maritime boundaries, saying agreements should comply with international law, including the UN Convention on the Law of the Sea. Greece and Egypt signed an agreement covering part of their maritime boundary in 2020, a move Turkey rejected at the time, arguing that the area overlapped with Ankara's claimed continental shelf.
As Europe seeks to secure its energy future, the Eastern Mediterranean is emerging as a key piece of the puzzle. The Cronos project, with its relatively short timeline and use of existing infrastructure, could provide a tangible boost to the continent's diversification efforts. For Cyprus, it marks a step towards becoming a gas exporter, while for Egypt it reinforces its role as a regional energy hub.
