NICOSIA, Cyprus (AP) — ExxonMobil could partner up with a consortium composed of Eni of Italy and Total of France to jointly develop gas deposits they’ve discovered close to each other off Cyprus' southern coast, the Cypriot energy minister said Friday.
Minister George Papanastasiou said ExxonMobil is in talks with the Eni-Total consortium on working together to bring their discoveries to market.
He said that potential collaboration could get a significant boost if an exploratory well that ExxonMobil plans to drill early next year strikes more of the hydrocarbon.
Cyprus officials have repeatedly said that offshore gas deposits could bolster Europe’s efforts to secure alternative energy sources following Russia’s war in Ukraine.
Papanastasiou made the remarks after ExxonMobil’s Vice President for Global Exploration John Ardill held talks with Cypriot President Nikos Christodoulides in the capital, Nicosia.
ExxonMobil’s new well, dubbed Pegasus, will be drilled near the existing Glaucus deposit which is estimated to contain 5 to 8 trillion cubic feet of gas inside an area for which the company and its partner Qatar Petroleum hold exploration licenses.
The area, known as Block 10, lies directly south of Block 6 where the Eni-Total consortium have discovered the Cronos deposit estimated to hold 2.5 trillion cubic feet of gas.
Papanastasiou said some type of infrastructure could link the Glaucus deposit with nearby Pegasus if it’s found to contain adequate gas reserves.
Separately, ExxonMobil will drill another new exploratory well dubbed Electra in January next year in Block 5 which is situated north of Block 10 and to the west of Block 6.
Ardill said ExxonMobil will mull over different development options once an assessment of the newly drilled wells is completed by the middle of next year.
Papanastasiou said those options could include turning the gas into liquid form through a seaborne installation situated atop the wells or transferring the gas to onshore facility on Cyprus for processing to meet domestic energy needs or export abroad.
ExxonMobil and Qatar Petroleum hold exploration licenses for two blocks, the Eni-Total consortium for seven blocks and a Chevron-Shell partnership for one.
Christodoulides said last week that Cypriot authorities are in early talks with several unidentified energy companies from Persian Gulf states regarding exploration licenses inside Cyprus' offshore exclusive economic zone.
FILE - An offshore drilling rig is seen in the waters off Cyprus' coastal city of Limassol, on July 5, 2020 as a sailboat sails in the foreground. (AP Photo/Petros Karadjias, File)
FILE - People walk at a dock with a drilling platform in the background, in the southern coastal city of Limassol, Cyprus, on March 10, 2019. (AP Photo/Petros Karadjias, File)
BAKU, Azerbaijan (AP) — A new draft of a deal on cash to curb and adapt to climate change released Friday afternoon at the United Nations climate summit pledged $250 billion by 2035 from wealthy countries to poorer ones. The amount pleases the countries who will be paying, but not those on the receiving end.
The amount is more than double the previous goal of $100 billion a year set 15 years ago, but it's less than a quarter of the number requested by developing nations struck hardest by extreme weather. But rich nations say the number is about the limit of what they can do, say it's realistic and a stretch for democracies back home to stomach.
It struck a sour note for developing countries, which see conferences like this one as their biggest hope to pressure rich nations because they can't attend meetings of the world's biggest economies.
"Our expectations were low, but this is a slap in the face,” said Mohamed Adow, from Power Shift Africa. “No developing country will fall for this. They have angered and offended the developing world.”
The proposal came down from the top, the presidency of U.N. climate talks — called COP29 — in Baku, Azerbaijan. Delegations from numerous countries, analysts and advocates were kept in the dark about the draft until it dropped more than a half a day later than promised, prompting grumblings about how this conference was being run.
“These texts form a balanced and streamlined package,” the Presidency said in a statement. “The COP29 Presidency urges parties to study this text intently, to pave the way towards consensus, on the few options remaining.”
This proposal, which is friendly to the viewpoint of Saudi Arabia, is not a take-it-or-leave-it option, but likely only the first of two or even three proposals, said Climate Analytics CEO Bill Hare, a veteran negotiator.
“We’re in for a long night and maybe two nights before we actually reach agreement on this,” Hare said.
Just like last year's initial proposal, which was soundly rejected, this plan is “empty” on what climate analysts call “mitigation” or efforts to reduce emissions from or completely get off coal, oil and natural gas, Hare said.
The frustration and disappointment at the proposed $250 billion figure was palpable on Friday afternoon.
“It is a disgrace that despite full awareness of the devastating climate crises afflicting developing nations and the staggering costs of climate action — amounting to trillions — developed nations have only proposed a meagre $250 billion per year," said Harjeet Singh of the Fossil Fuel Non-Proliferation Treaty.
That amount, which goes through the year 2035, is basically the old $100 billion year goal with 6% annual inflation, said Vaibhav Chaturvedi a climate policy analyst with New Delhi-based Council on Energy, Environment and Water.
Experts put the need at $1.3 trillion for developing countries to cover damages resulting from extreme weather, help those nations adapt to a warming planet and wean themselves from fossil fuels, with more generated by each country internally.
The amount in any deal reached at COP negotiations — often considered a “core” — will then be mobilized or leveraged for greater climate spending. But much of that means loans for countries drowning in debt.
Singh said the proposed sum — which includes loans and lacks a commitment to grant-based finance — adds “insult to injury.”
Iskander Erzini Vernoit, director of Moroccan climate think-tank Imal Initiative for Climate and Development, said “the EU and the U.S. and other developed countries cannot claim to be committed to the Paris Agreement while putting forward such amounts” of money.
Countries reached the Paris Agreement in 2015, pledging to keep warming below 1.5 degrees Celsius (2.7 Fahrenheit) since pre-industrial times. The world is now at 1.3 degrees Celsius (2.3 degrees Fahrenheit), according to the U.N.
Switzerland environment minister Albert Rösti said it was important that the climate finance number is realistic.
“I think a deal with a high number that will never be realistic, that will never be paid… will be much worse than no deal,” he said.
The United States' delegation offered a similar warning.
“It has been a significant lift over the past decade to meet the prior, smaller goal" of $100 billion, said a senior U.S. official. “$250 billion will require even more ambition and extraordinary reach" and will need to be supported by private finance, multilateral development banks — which are large international banks funded by taxpayer dollars — and other sources of finance, the official said.
A lack of a bigger number from European nations and the U.S. means that the “deal is clearly moving toward the direction of China playing a more prominent role in helping other global south countries,” said Li Shou of the Asia Society Policy Institute.
German delegation sources said it will be important to be in touch with China and other industrialized nations as negotiations press on into the evening.
Analysts said the proposed deal is the start of what could likely be more money.
“This can be a good down payment that will allow for further climate action in developing countries,” said Melanie Robinson, global climate program director at the World Resources Institute. “But there is scope for this to go above $250 billion.”
Rob Moore, associate director at E3G, said that whatever figure is agreed “will need to be the start and not the end" of climate cash promises.
"If developed countries can go further they need to say so fast to make sure we get a deal at COP29,” he said.
Associated Press journalists Ahmed Hatem and Aleksandar Furtula contributed to this report.
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Demi Afasene, of Tuvalu, right, looks through a draft of a proposed deal for curbing climate change at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
An activist works on a display that reads in Portuguese persistir, that translates to persist, during the COP29 U.N. Climate SuRafiq Maqbool Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Rafiq Maqbool)
A person reads a draft of a proposed deal for curbing climate change during the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
Toeolesulusulu Cedric Schuster, Samoa environment minister, waits outside a room at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
A draft of a proposed deal for curbing climate change sits on a table at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
Activists participate in a demonstration for climate finance at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Sergei Grits)
Albert Rosti, of Switzerland, speaks to members of the media at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Sergei Grits)
Mukhtar Babayev, COP29 President, rehearses in the plenary at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
An activist displays "pay up" on his hand during a demonstration for climate finance at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Sergei Grits)
Activists dressed as clowns participate in a demonstration for climate finance at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Sergei Grits)
Activists participate in a demonstration for climate finance at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
Activists participate in a demonstration for climate justice at the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
The sun rises visible behind a transmission tower during the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
Dion George, South Africa environment minister, left, walks past a person in a dugong costume during the COP29 U.N. Climate Summit, Friday, Nov. 22, 2024, in Baku, Azerbaijan. (AP Photo/Peter Dejong)
