Natural Gas Expected From Block 12 By 2015
Natural gas from Block 12 could be delivered by 2015 for use in electricity production, and from then consumers will see a gradual reduction in electricity prices and fuel emissions, according to the Cyprus Energy Regulatory Authority (CERA).
In the meantime, electricity prices will remain the highest in the EU, driven up by high oil prices and the disastrous accident next to Vassiliko electricity plant in July 2011. A massive explosion at a neighboring naval base took out most of the plant's oil storage units, along with much of the transmission equipment. An estimated 700 million euros in damage was done to the plant, with a knock-on effect in the wider economy amid electricity cuts around the island.
As of September 2011, there has been an eight percent rise in electricity prices after CERA approved an Electricity Authority request.
On December 28th, President Christofias said that Noble Energy International has confirmed 5-8 trillion cubic feet (tcf) of natural gas in Block 12 of Cyprus' Exclusive Economic Zone (EEZ) in a discovery that has put Cyprus on the EU's energy map.
Methane gas reserves in Block 12 are estimated to be worth around 100 billion euros, according to Minister of Commerce Praxoulla Antoniadou.
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