Eni Expands in Mediterranean With Cyprus Block 6 Gas Deal

Eni SpA E, the Italian energy giant, has signed an agreement with Egypt and Cyprus for the development and export of gas from Cyprus’ Block 6 through Egypt’s existing infrastructure. The deal, signed in Cairo on Feb. 17, marks a significant step toward establishing an Eastern Mediterranean gas hub.The agreement, signed by Egypt’s minister of Petroleum Karim Badawi, Cyprus’ minister of Energy George Papanastasiou, Eni CEO Claudio Descalzi, and TotalEnergies, outlined a framework for the rapid development of the Cronos gas discovery offshore Cyprus. The gas will be transported to Egypt’s Zohr facilities, processed, and then liquefied at the Damietta LNG plant for export to European markets.Egypt’s president Abdel Fattah El-Sisi and Cypriot President Nikos Christodoulides presided over the signing ceremony, which took place at the Egypt Energy Show.Discovered in 2022 and appraised in 2024, Cronos holds more than 3 trillion cubic feet of gas in place. Block 6 also includes additional resources under exploration, such as the Zeus discovery. Eni operates Block 6 with a 50% stake, along with interests in Blocks 7, 8 and 11.Eni has been operating in Egypt since 1954 and remains the country's leading oil and gas producer, with equity production of approximately 280,000 barrels of oil equivalent per day in 2024. The company’s existing infrastructure, including its 50% stake in the Damietta LNG plant, positions it as a key player in the region’s growing energy trade.Eni CEO Claudio Descalzi highlighted the agreement's role in strengthening energy security and market competitiveness, noting that Egypt’s existing infrastructure is crucial for regional developments.The deal cements Egypt and Cyprus’ roles in the Eastern Mediterranean energy landscape, reinforcing the region’s growing significance in global gas supply. With Europe seeking diversified energy sources, the development of Cyprus’ Block 6 could further enhance the Mediterranean’s position as a strategic energy corridor.E’s Zacks Rank & Key PicksE currently has a Zack Rank #3 (Hold).Investors interested in the energy sector may look at some better-ranked stocks like SM Energy Company SM, NextDecade Corporation NEXT and Viper Energy, Inc. VNOM. While SM Energy and NextDecade presently sport a Zacks Rank #1 (Strong Buy) each, Viper Energy carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.SM Energy is set to expand its oil-centered operations in the coming years, with an increasing focus on crude oil, especially in the Permian Basin and Eagle Ford regions. The company’s attractive oil and gas investments should create long-term value for shareholders.NextDecade is an emerging player in the LNG space with its Rio Grande LNG project in Texas. As demand for LNG continues to grow, NextDecade’s strategic investments in infrastructure and its planned liquefaction capacity provide strong upside potential. With the global LNG market expanding, the company is well-positioned to tap into the increasing export demand from the United States.Viper Energy is a variable distribution MLP based in Midland, TX. It generates strong and steady royalty income from mineral interests in Eagle Ford and the Permian Basin. The business strategies of the partnership include acquiring mineral interests from third parties and the parent company. Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Eni SpA (E): Free Stock Analysis Report SM Energy Company (SM): Free Stock Analysis Report Viper Energy Inc. (VNOM): Free Stock Analysis Report NextDecade Corporation (NEXT): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks