MOL Group has agreed to acquire Shell’s wholly owned subsidiary BG Cyprus Limited for up to $720 million. Upon completion, the transaction will give MOL Group a 35% non-operated interest in Cyprus Offshore Block 12, which contains the Aphrodite gas field.
The transaction is expected to close in early 2027, subject to regulatory approval and other closing conditions. MOL Group will then assume the rights and obligations associated with Shell’s interest.
Aphrodite is located approximately 170 km southeast of Cyprus in the eastern Mediterranean. The field was discovered in 2011 and subsequently appraised through further drilling campaigns.
It is estimated to contain around 104 bcm, equivalent to 632 MMBoe, of contingent gas resources and 8 MMbbl of condensate resources. Gas produced from the field is expected to be sold to the Egyptian Natural Gas Holding Company.
The Aphrodite joint venture also includes operator Chevron Cyprus, which holds a 35% interest, and NewMed Energy, which has a 30% non-operated interest.
The development plan includes four wells and an independent floating production facility. A final investment decision is planned for 2027, with first gas expected in 2031.
The project also includes a 250 km subsea pipeline connecting the field to Egypt’s gas transmission network.
BG Group acquired the Aphrodite interest through BG Cyprus Limited in 2015. The company became a Shell subsidiary after Shell completed its acquisition of BG Group in February 2016.
Shell said Aphrodite remains an attractive development opportunity and is expected to support regional energy needs. The company said the sale reflects its capital allocation and portfolio decisions as it focuses on opportunities linked to its integrated LNG value chain.
Shell also said Egypt remains an important country for the company and that it will retain a significant presence there.
MOL Group said the acquisition is aligned with its exploration and production strategy, including the expansion of its international portfolio and its entry into Cyprus.
The company described Aphrodite as its most promising E&P growth opportunity since it acquired an interest in Azerbaijan’s ACG field in 2019.
