Cyprus' Energy Minister Says Second Round of Licences Possible by End of Year

The Cypriot government will offer a second round of offshore oil and gas licencing options, Cyprus's energy minister has said.

Praxoulla Antoniadou, the country's energy minister, said yesterday that she hopes that the licences can be granted as soon as possible, potentially by the end 2011.

"Our aim is to move ahead as soon as possible with a second licensing round," she said. "We should be ready to say how and when we will proceed before the end of this year."

However, the announcement has drawn criticism from opposition parties, who believe that transparency could be lost in the quickened process. 

Averoff Neofytou, from the Democratic Rally Party of Cyprus (DISY), said that the time frame could only lead to a lack of transparency. 

"I can read between the lines," he said, "and I sense that the government is probably considering bypassing an open bidding in favour of awarding a licence by direct assignment."

The second round licences relate to the last 11 blocks on offer in the Exclusive Economic Zone in Cyprus. The twelfth block is already being explored by Noble Energy Inc.

The existing exploration efforts have fuelled tensions between Cyprus and Turkey, which has been layed claim to offshore areas off North Cyprus.

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