Eni has signed main engineering, procurement, construction, and drilling contracts for the development of the Cronos gas project off the coast of Cyprus. These contracts, valued at approximately $1.8 billion, signify the start of the project's execution phase in Block 6.
Contract Details and Contractors
Although Eni did not disclose the names of the contractors, local media have identified eight companies that will be responsible for the work on this project. The project includes subsea production systems, pipelines, offshore installation, drilling, and related infrastructure.
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Baker Hughes will be responsible for the design, procurement, and construction of subsea production systems, while TechnipFMC will supply flexible gas production lines. Dalmine will also be responsible for supplying export gas pipelines and monoethylene glycol.
Expectations from the Cronos Development
Oceaneering International will be responsible for subsea control systems and umbilicals. Additionally, China Merchants Heavy Industry will be responsible for the design, construction, transportation, and installation of a floating control unit. Marine engineering contractor McDermott will also be responsible for marine transportation, installation, connection, and commissioning of pipelines and subsea equipment.
The Egyptian contractor Petrojet is responsible for constructing a new onshore gas pipeline that connects the Zohr facilities to the LNG terminal in Damietta. Meanwhile, the Italian company Saipem has been selected to provide drilling services using the Saipem 10000 drilling vessel.
Separately, Halliburton also secured a well construction and completion contract for Cronos in September, which includes drilling fluids, directional drilling, cementing, automation, and other well services.
The Cronos development includes four subsea wells, with estimated resources of over 3 trillion cubic feet of gas. Production is expected to begin in the first half of 2028, reaching a level of 500 million standard cubic feet per day.
The produced gas will be transported to Egypt for processing through existing infrastructure at the Zohr field and will then be liquefied in Damietta, primarily for export to European markets. Eni holds a 50% stake and manages Block 6, while TotalEnergies holds the remaining share.
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