Cyprus government in full cooperation with EPPO on Vasilikos LNG terminal investigation

The government of Cyprus was informed last March by the European Public Prosecutor's Office (EPPO) about the launch of an investigation into the procedures and conditions of the award of the project in 2019 concerning the construction of a natural gas import terminal in Vasilikos, Deputy Government Spokesperson Yiannis Antoniou has said.

This means that the investigation began before the company chosen to undertake the project terminated its contract earlier in July.

Since March, Antoniou added, the Cypriot authorities have been in full cooperation with the European Public Prosecutor's Office, so that there can be an in-depth investigation of the case and any possible responsibilities can be assigned.

"The President of the Republic's instructions are that there should be a full investigation into this matter,"  Antoniou stressed.

No one is above the law and there will be no compromise to the principles of transparency and accountability, he concluded.

EPPO has opened an investigation into the project for the construction of a liquefied natural gas (LNG) import terminal in Vasilikos, according to a press release by the EPPO in Luxembourg. The investigation focuses on suspicions of procurement fraud, misappropriation of EU funds and corruption.

The investigation began after the Audit Office of the Republic of Cyprus published a report on 19 January 2024, regarding possible violations during the procurement procedure and the subsequent execution of the public contract for the project. The European Court of Auditors and the European Climate, Infrastructure and Environment Executive Agency (CINEA) also sent reports to the EPPO.

The EPPO decided to open an investigation after examining the relevant in formation in detail, according to the press release. No further details will be made public at this stage the EPPO stresses.

The project aims to create an entry point for natural gas to Cyprus, enabling the country to connect with the wider European gas market. The total cost of the project was determined at 542 million euro, of which approximately 101 million euro was financed by the Connecting Europe Facility (CEF) programme.  The construction, which should have been concluded in December 2019, has not yet been completed.

The EPPO is the independent public prosecution office of the European Union. It is responsible for investigating, prosecuting and bringing to judgment crimes against the financial interests of the EU.

(Source: CNA)