Vasilikos Terminal: €70 Million Capital Injection Proposed for ETYFA
ETYFA to Receive Capital Boost as DEFA Presents 2025 Budget
The Parliamentary Committee on Energy, Commerce and Industry discussed a €70 million capital increase for the Natural Gas Infrastructure Company (ETYFA) to complete the liquefied natural gas (LNG) terminal project in Vasilikos. The discussion took place during the presentation of the 2025 budget of the Natural Gas Public Company (DEFA), in the presence of Energy Minister Giorgos Papanastasiou.
Speaking after the committee meeting, Minister Papanastasiou stated that DEFA presented its 2025 budget, which includes funding for the completion of the LNG terminal at Vasilikos.
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The €70 million, designated for the terminal’s completion, was identified by the Ministry of Finance as a capital increase for ETYFA. This amount is expected to be used shortly for contract awards related to the project.
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The Minister clarified that the Finance Ministry’s position on the capital increase by DEFA in ETYFA—and therefore a corresponding increase by the Electricity Authority of Cyprus (EAC), which holds a 30% stake in ETYFA—is not a precondition. The Energy Ministry will need to inform the EAC whether it intends to participate in the capital increase.
In response to a question, Papanastasiou noted that more than €70 million will be needed for the completion of the terminal. ETYFA, created as a special purpose vehicle (SPV) for the project, began with an initial construction budget of €289 million. An additional €25 million raised the total to €314 million. However, due to delays, a further €70 million is now required to complete the construction phase. He added that another €70 million already included in the €314 million has yet to be disbursed.
The committee requested a detailed list of the works that must be paid for until the terminal’s completion, and how the €70 million from the Ministry of Finance will be allocated.
The Minister also received a project timeline from ETYFA, which will be reviewed by the Energy Ministry. The current target remains end-2025, and the timeline should reflect this goal.
