IGI POSEIDON S.A. picks up the pace in the development of the EastMed Pipeline
IGI Poseidon, the consortium that develops the EastMed pipeline, in which DEPA holds a 50% stake, proceeded with an open tender invitation, initiating the pre-selection process of the two candidate contractors that will implement the detailed planning, supply, construction, transport, installation and pre-commissioning (EPCI) regarding the four offshore sections of the pipeline, with a total length of 1,470 km and a budget of approximately € 3 billion.
Following the pre-selection of the contractors, the preparatory services of the project will begin, namely: the review and adoption of the Application Studies (FEED) for the offshore sections and the Detailed Subsea Research and Mapping (DMS), which are in the stage of completion of the assignment, as well as conducting new studies, if necessary.
The EastMed Pipeline will provide a secure export route from the new gas fields in the Levantine Basin (East Mediterranean) to Western-european markets, via Greece and Cyprus. The pipeline has been included in the European Union’s Projects of Common Interest (PCIs) and all of its studies and research are funded by the EU. In addition, IGI Poseidon decided recently to invest € 70 million in order to complete the remaining stages of the project’s development and maturity, until the final investment decision (FID).
On this occasion, the Minister of Environment and Energy, Mr. K. Hatzidakis, stated:
“EastMed is a pipeline of strategic importance, not only for Greece but for the entire Europe, which is why we are closely monitoring its development. The new tender invitation makes us very happy, as it proves that the project’s development is on track, despite the turbulence in the economy and the global energy market due to the COVID-19 pandemic. The Greek Government and our Ministry have prepared and implement a comprehensive plan that safeguards the diversification of energy sources and routes and ultimately, our country’s energy security. “
In turn, the CEO of DEPA, Mr. K. Xifaras, noted:
“A few months ago we signed the first supply agreement with one of the largest producers of natural gas in the East Mediterranean, ensuring the commercial and economic viability of EastMed. Now, we are making the necessary investments for the rapid maturity of the project and proceeding to an open tender invitation for the selection of the candidate contractors that will develop it, starting from the preparatory services. So each day, we come closer to realizing this strategic project.
In recent months, DEPA systematically expands its commercial activities and strengthens its participation in international projects, leading the energy developments in Southeast Europe.”