Qatari oil and gas company, Qatar Energy, becomes the first energy company from the Gulf region which has been awarded the rights to explore oil and gas in Cyprus’ offshore in the Eastern Mediterranean, Reuters reports.
According to the report, Cyprus’ Energy Ministry said Qatar Energy will do exploration activities in 40 per cent, while American company, Exxon Mobil, is taking 60 per cent of the block.
The award was made after winning the approval of the Cypriot cabinet, the report says.
Block 5 lies adjacent to block 10, which Exxon Mobil and Qatar Energy also hold the exploration rights for.
By this act, Qatar became the first Gulf nation which starts drilling activities in the Cyprus part of the Eastern Mediterranean, the report states.
The Eastern Mediterranean energy exploration activities always create problems among the countries.
Turkey slammed Cyprus for violating its continental shelf by awarding an exploration license in the Mediterranean to Exxon Mobil and Qatar Energy, adding it will not allow unauthorised exploration in its jurisdiction.