Late August and near the deadline within which Cyprus had to respond to Chevrons FDP request - In the picturesque Troodos Mountains, a pivotal decision was taken that could reshape the energy landscape in the Eastern Mediterranean – especially in light of all going on now in Israel and the wider region.

At the heart of this decision was the rejection of Chevron's Field Development Plan (FDP) – a decision cautiously reached upon months of meticulous planning and analysis between energy minister George Papanastasiou and the wider Cypriot energy service and its advisors ahead of briefing President Christodoulides so as to take the decision on how to respond to Chevrons request.

Ultimately this pivotal decision to reject with a well structured letter of rejection was backed by President Christodoulides, indicating a preference to cooperate with Chevron only if the energy giant would at least make some worthwhile concessions to align plans with Cyprus's strategic objectives. This wasn’t a decision taken lightly. Armed with the facts Christodoulides decided its best to follow the judgement calls of the minister and wider energy team and so the letter of rejection was sent. This triggered the tense process of getting to a potential deal that still sees a Cyprus-vs-chevron dynamic that is far from reaching any solutions

But why did Christodoulides lean towards rejecting Chevron's advances? It seems that the President, keen on safeguarding Cyprus's energy interests, would not easily acquiesce to Chevron's terms unless convinced of their commitment as a reliable partner. It's essential to note that merely agreeing with Chevron's FDP doesn't guarantee any substantial near-term investment in the Aphrodite gas field. The most one could anticipate from such an accord would be Chevron allocating a few hundred million dollars towards FEED studies. There remains a palpable risk that Chevron, armed with these studies, might later deem the project non-viable and choose to withdraw.

The current scenario is reminiscent of Cyprus's decision in 2019, when it conceded to Noble Energy, only to find themselves grappling with an even more challenging situation as they navigate Chevron's demands in 2024.

However, the Troodos decision wasn't an isolated incident. It was the culmination of months of effort by the new Cypriot government, focusing on the nation-centric development of its gas reserves. This also included a vision to elevate Cyprus as a regional energy hub. Every supermajor was privy to this direction. They were all formally briefed at the Cyprus Gateway meeting. While some supermajors grumbled, stating that they were already aware of the potential plans and merits of the Cyprus gateway, it reflected a broader acknowledgment. The region is evolving, and the long-held status quo by some energy giants might soon be untenable. The idea of Cyprus emerging as a central hub for regional gas monetization is no longer a distant dream but a palpable reality on the horizon.