MOL Group has agreed to acquire Shell’s 35% non-operated interest in Cyprus Offshore Block 12, containing the Aphrodite gas field, for up to $720 million.
The Hungarian energy company will acquire BG Cyprus Limited, Shell’s wholly owned subsidiary holding the interest. The consideration includes contingent payments linked to key project milestones and remains subject to adjustments at closing.
Discovered in 2011 and appraised through subsequent drilling campaigns, Aphrodite is a deepwater gas discovery located approximately 170 km southeast of Cyprus in the eastern Mediterranean. MOL estimates the field contains around 104 bcm, or 632 million barrels of oil equivalent, of contingent gas resources, together with 8 million barrels of condensate.
The proposed development comprises four production wells connected to a standalone floating production facility. It also includes a 250-km subsea pipeline that would transport the gas to Egypt’s transmission network.
A final investment decision is planned for 2027, with first gas targeted for 2031. All gas produced from Aphrodite is expected to be sold to the Egyptian Natural Gas Holding Company, EGAS, providing the project with access to Egypt’s existing gas-processing and LNG infrastructure.
The field is operated by Chevron Cyprus, which holds a 35% interest, while NewMed Energy owns the remaining 30%. MOL will assume Shell’s project rights and obligations when the transaction is completed.
MOL described Aphrodite as a major, de-risked development project in the European Union and its most significant E&P growth opportunity since acquiring a 9.57% interest in Azerbaijan’s ACG field in 2019. The acquisition marks the company’s entry into Cyprus and is expected to add a long-life offshore gas asset to its international upstream portfolio.
Shell said Aphrodite remained an attractive development opportunity capable of supporting regional energy demand. However, the company said its decision to exit reflected capital-allocation priorities and a strategy focused on opportunities that strengthen its integrated LNG value chain.
The transaction is expected to close in early 2027, subject to regulatory approvals and other closing conditions.
