Loyds Register High Level Master Plan

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for a safer world
HIGH LEVEL MASTER PLAN
FOR HYDROCARBON DEVELOPMENT
Report on the environmental and socio-economic impact
arising from the use of the Port of Larnaca as Logistics Base
for offshore exploration drilling operations
29th October 2014
Reference: MBD/ENV/1010-1500

Impact Assessment Report - Larnaca Port Offshore Support Operations
2
HIGH LEVEL MASTER PLAN
ON HYDROCARBON DEVELOPMENT ON LARNACA PORTS
Panayiotis Mitrou/
Senior Client Support
Manager
Contract No 461
Signature date
01/07/2014
Anastasia Kouvertari/
Senior Environmental
Business Development
Specialist
Rev 1.1
October 2014
Yvonni-Effrosyni
Damianidou/
Business & Technical
Support Specialist
Kirikos Faraklas/
LRQA-Marine
Business Centre
Manager
Paris Mintzaridis/
EMBS Energy
Operations
Manager
Prepared Controlled Approved
Lloyd's Register Group Limited, its affiliates and subsidiaries and their respective officers, employees or agents are,
individually and collectively, referred to in this clause as 'Lloyd's Register'. Lloyd's Register assumes no responsibility
and shall not be liable to any person for any loss, damage or expense caused by reliance on the information or advice
in this document or howsoever provided, unless that person has signed a contract with the relevant Lloyd's Register
entity for the provision of this information or advice and in that case any responsibility or liability is exclusively on the
terms and conditions set out in that contract.

3
i. Executive summary
The current report has been compiled by Lloyd’s Register EMEA on behalf of the Municipality of
Larnaca, on the subject of the ‘’Preparation of a High Level Master Plan regarding the Impact
from Hydrocarbon Development at the port of Larnaca’’.
Present document comprises an objective and independent review of the provisions contained in
the Environmental Permit issued by the Government of Cyprus, the ESHIA studies and other
documentation, governing the research exploration drilling campaigns of prospective oil
companies in the Cypriot EEZ.
The High Level Master Plan concentrates on the envisaged operations relating to the exploration
drilling campaign of ENI Cyprus Ltd., with a particular focus on those that will take place on the
Logistics Base. Activities are identified and assessed under the prism of safety, health,
environmental protection and overall landscape preservation and refer -among other things- to
handling of explosives, handling of radioactive materials and wastes associated with drilling
operations. Control and mitigation measures proposed by the prospective oil companies,
developing their presence in the port area are presented so that the context of analysis is
holistically addressed.
The study has also extended its scope to investigate the societal costs and benefits to the local
economy, including city master plan considerations, touching also on employment, tourism,
investment, real estate and disturbance factors. This assessment entailed the impact of the
Logistics Base operation as well as the prospective development of Oil & Gas operations around
Larnaca area.
Apart from examining the environmental footprint of intended operations and the effects on the
touristic product of Larnaca, focus has also been placed to certain activities that have caused the
concern of the public. Within this context, the issue of chemical storage and the Liquid Mud
Plant operation have been reviewed with respect to the HAZID (Hazardous Identification) analysis
undertaken by ENI Cyprus Ltd. with a view to disclose any potential gaps in identifying potential
risks that could occur during the research drilling campaign.
To facilitate the aim of the study and the understanding to the reader, additional information
comprising of the research drilling regulatory framework and case studies drawn from
international practice, have been attached as Appendix to the Report.
The study concludes with a number of recommendations derived on the basis of impact
minimisation. These could be drawn up for further analysis and assessment, under the ownership
of the Municipality of Larnaca.

4
Lloyd’s Register EMEA
, ‘’
’’.
,
, ( SHIA) ,
( ).
ENI Cyprus Ltd., ,
.
, , ,
, – - ,
, .
, ,
.
,
, , , , . ,
&
.
,
. ,
(LMP)
(HAZID) ENI Cyprus Ltd.,
.
,
.
,
.
, .

5
ii. Abbreviations
Abbreviation Explanation
ADR European Agreement concerning the International Carriage of Goods by Road
CPA Cyprus Port Authority
EBS Environmental Baseline Survey
EEZ Exclusive Economic Zone
EIA Environmental Impact Assessment
EPR Emergency Response Plan
ESHIA Environmental Social Health Impact Assessment
HSE Health Safety Environment
IESC Innovating Environmental Solution Center
IMS Integrated Management Systems
LTI Lost Time Incident
NORM Naturally Occurring Radioactive Material
NOx Oxides of Nitrogen
ODS Ozone Depleting Substances
OSCP Oil Spill Contingency Plan
OSV Offshore Supply Vessel
PMs Particulate Matters
PSV` Platform Supply Vessels
SOx Oxides of Sulphur
TENORM Technologically Enhanced Naturally Occurring Radioactive Material
VOC Volatile Organic Compounds

6
Contents
1. Introduction 8
2. Scope 10
3. Documentation 11
4. The Port of Larnaca 12
4.1 General description
4.2 Urban Planning Zones
5. Envisaged Operations 15
5.1 Logistics operations
5.2 Liquid mud production
6. Environmental impact 23
6.1 Impact on Air Quality
6.2 Impact on Water Quality
6.3 Impact on Soil and Subsoil Quality
6.4 Impact on Landscape
6.5 Technical Review of the Liquid Mud Plant (LMP)
6.6 The issue of application of SEVESO II Directive arising from the chemicals storage
7. Socioeconomic impact 35
7.1 Employment
7.2 Investment - Capital inflows
7.3 Real Estate - Asset Values
7.4 Traffic Disturbance
7.5 Visual impact
7.6 Tourism, Urban Planning, Master Plan
8. Comparative analysis for specific aspects related to the Logistics Base operations 42
8.1 Daily traffic increase versus the arrival of one cruise ship
8.2 Offshore operations explosives versus LPG use and hunting ammunition
8.3 Materials transportation per well versus typical port cargo flows
8.4 Radioactivity emissions comparison
9. Remarks 47
10. Recommendations 48
11. References 50

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Appedices
Appendix 1 Typical Components of Water-Based Mud
Appendix 2 Typical Components of Low Toxicity Oil-Based Mud
Appendix 3 Overview of common industrial uses of sealed Radioactive Sources
Appendix 4 ADR table of maximum quantities per transportation unit
Appendix 5 ENI documentation related to offshore drilling operations in Cyprus.
Appendix 6 List of Chemicals examined under the application of SEVESO II Directive
Appendix 7 Regulatory Framework
Appendix 8 Results from the radioactivity measurements in the mud from the drilling
operations in the Cypriot EEZ
Appendix 9 Indicative case of an Impact Benefit Agreement in the Oil & Gas sector
Appendix 10 Case studies drawn from International experience
Appendix 11 International practice – related accidents

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1. Introduction
The hydrocarbon exploration and exploitation activities in the Republic of Cyprus are governed by
the Hydrocarbon Law of 2007 (No.4(I)/2007), Hydrocarbon Regulations of 2007 and 2009
(No.51/2007 and No.113/2009) and EU Directive 94/22/EC on the conditions for granting and
using authorizations for the prospection, exploration and production of hydrocarbons.
The two licencing rounds have resulted in rights to oil companies to undertake their exploration
drilling campaigns in the Cypriot EEZ. Exploration rights were granted for a period of three years
between 01.01.2013 – 01.01.2016. The scale of prospective operations refers to a plan of
approximately ten exploration drills within the next couple of years. Italian ENI is planning 4 drills
and if successful 2 more appraisal wells over 12 to 18 months1
, Noble Energy may drill one more
exploration well at a new gas field close to Aphrodite and the French Total will be exploring two
wells in the assigned blocks of the Cypriot EEZ. All drilling is expected to be completed by 2016,
and before the end of the 3 year licenses given to MedServ and the others by CPA.
Table 1: Cyprus' Exclusive Economic Zone (EEZ) and assignment of exploration rights
This report has been compiled by Lloyd’s Register EMEA on behalf of the Municipality of Larnaca,
under the provisions governing the Contract that arises from the tender procedure No.13/2014
and renders the ‘’Preparation of a High Level Master Plan regarding the Impact from
Hydrocarbon Development at the Port of Larnaca’’.
An overarching principle running through the current report is the objective and independent
review of all the documentation received, as well as the standpoints expressed by the key
interested Parties regarding the proposed supporting activities to offshore drilling operations that
are expected to officially commence towards the end of September 2014 at the port of Larnaca.
Due to the fierce concerns raised by the local community in respect of the intended use of the
port, all the views presented in the Municipality have been formally recorded and been
1
Four exploratory wells to be drilled within three Exploration Blocks, offshore Cyprus: Blocks 2, 3 and 9, namely
Onasagoras, Zenon, Kinyras and Amathusa.

9
accounted for. In this view, the script of all standpoints expressed by the local Community is
available in the Appendices as stated in the preliminary report.
Concluding, this study will identify some areas where further analysis or assessment may be
required for more sound conclusions to be drawn. In this respect, the remarks and
recommendations contained herewith are neither exhaustive nor mandatory for implementation.
The content of this report remains under the exclusive ownership of the Municipality of Larnaca,
which is responsible for further action.

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2. Scope
The primary aim of the study that the Municipality of Larnaca has assigned to Lloyd’s Register
EMEA, is to examine the consequences at the port of Larnaca, both short and long term, as well
as the impact to the city of Lanraca, as a result of the operation of a logistics base for offshore
exploration drilling operations in the Cypriot EEZ. This independent assessment will also take into
consideration the decision of the Government of Cyprus regarding the upgrade of the port of
Larnaca into a modern cruise port with increased passenger traffic, in parallel to other
commercial activities that are currently taking place. The later commitment has been substantially
supported through the launch of an international tendering process and the selection of ZENON
Consortium to undertake the works of modernisation in the area.
The scope of the High Level Master Plan that Lloyd’s Register will draft on behalf of the
Municipality of Larnaca, is to assess the risk of all activities relating to the logistics base
operations supporting the hydrocarbon industry, in terms of safety, health of the local
community and environmental protection. Moreover, the study will endeavour to clearly
document any positive and negative impact arising from the hydrocarbon activities to the local
economy.
An independent review and assessment of the anticipated environmental impact has been
performed on the basis of ESHIA studies performed by the operators and the conditions raised in
the Environmental Permit granted by the Cypriot Authorities. Issues relevant to the preservation
of the physical environment have been analysed in addition to an overall assessment of the
socioeconomic impact that the operation of the Logistics Base is projected to have in the
municipality of Larnaca.

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3. Documentation
- Evidence and documentation, which has been taken into account for the compilation of this
report is presented below:
- Environmental Permit in accordance with Article 11 for EIA from projects that fall within the
scope of Law (No.140(I)/2005) regarding the impact to the environment for the ‘’construction
and operation of chemical storage’’ and the ‘’construction and operation of Liquid Mud Plant’’
by the company ‘’Medserv Cyprus Ltd’’ at the port of Larnaca
- Replies to the Comments of the Municipality of Larnaca, regarding the Forms of the Preliminary
Environmental Impact Reports for the Liquid Mud Plant and the Chemical Storage, submitted
by ENI Cyprus Ltd
- The ESHIA of ENI, covering Exploratory Wells and onshore Logistic Base impact – the part
relevant to onshore operations was examined
- The ESHIA provided by Noble Energy, for a Temporary Dock Facility in Stanley Harbour, Falkland
Islands (2013)
- The HSE IMS (Integrated Management Systems) Manual of ENI Cyprus Ltd, containing, among
other chapters, the methodology for the identification of the significant aspects and impact to
the environment and the waste management procedures of the company
- The studies conducted for the logistics base, and more specifically the executive summaries and
the Preliminary Environmental Impact Reports for the chemical storage and the liquid mud
plant, in accordance with Article 14 of the Environmental Impact Assessment Law 140(I)/2005
- The Waste Management Plan, in accordance with Cypriot Law 185(I)/2011 and ENI standard
covering the management and disposal of all waste generated by Exploratory Wells drilling –
the part relevant to the Logistic Base activities was examined
- The Emergency Response Plans and the Oil Spill Contingency Plan regarding the exploration
drilling campaign – the part relevant to the onshore operations was examined
- Data submitted by the Cyprus Port Authority covering the commercial and cruise activity in
Larnaca, waste production at the LMP in Limassol
- Information received by the Ministry of Energy, Commerce, Industry and Tourism – meeting
with personnel responsible for hydrocarbons, radioactive materials and labour inspection was
held
- Feedback received by the Ministry of Agriculture, Natural Resources and the Environment –
meeting with the Department of Environment held
- Feedback received from a meeting with directors of the ZENON Consortium
- Views and suggestions expressed by all interested Parties in the city of Larnaca, namely the
Municipality Board, the Tourism Board, Members of the Parliament (MPs), Members of Political
Parties, representatives of educational institutions and active citizens2
.
2
It is to be noted that the present document does not reflect the views of the platform ‘’Larnaca REACT’’, as there was no
representation during the day the meetings were organised at the Municipality.

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4. The Port of Larnaca
4.1 General description
Larnaca has been established in its present since 1973. It is situated in proximity of 0.5 km from
the Larnaca city center and is connected to the mainland through 4 lane-highways. The port is
subject to the authority of the CPA.
Covering an overall area of 445,000 m2
, the adjacent zones around the port are summarised as
follows:
- North section: bulk storage area comprising of storage facilities and loading area for oil
products of the Larnaca gulf
- West section: Residential and touristic zone
- South section: Marina with a maximum capacity of 450 yachts
- East section: Larnaca bay
Port operations comprise both passenger and commercial activity. The following tables depict
port activity during the period January - July 2014.
(01/01-31/07/2014) Passenger Activity
Number of Calls Number of passengers
25 20,126
Table 4a
(01/01-31/07/2014) Commercial Port Activity
Type of Goods Number of Ships Volume of trade (tons)
Animal feed 80 250,000
Gypsum 62 186,100
Iron 10 175,582
Chipboards 4 9,943
Salt 3 6,370
Bentonite 1 1,920
Pumice Stone 1 3,000
Steel Pipes 2
1,773
Fertilizers 1 1,485
Bitumen 3 8,750
Soya & Sunflower Oil 3 5,300
Cars 7 2,756 (Units)
Table 4b

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Picture 4a – Larnaca Port
Picture 4b – Larnaca Port
Picture 4c – Typical grain unloading operation in Larnaca Port

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4.2 Urban Planning Zones
The chemical storage will be accommodated at a specially designated area, as shown in the
following Plan:
Picture 4d - Larnaca Port plan depicting oil companies prospective installations

15
5. Envisaged Operations
Content within this section aims to reflect in detail the envisaged port operations by oil
companies (operators) intending to use Larnaca port as a logistics base for drilling exploration
operations. So far one operator (ENI) has obtained Government approval and the Base
installations have been constructed. Noble Energy installations are planned to cover a surface of
approximately 10,000 m2
and the process of Permit issue is in process.
Picture 5a, Larnaca Port plan depicting oil companies prospective installations
The ENI Logistics Base, inside the Larnaca Port, is organized into the following main logistics areas
(ENI Cyprus Ltd, 2014c and ENI E&P Div. LOGIS, 2014):
office accommodation and office equipment;
berthing and quay facilities;
liquid mud plant and bulk storage facilities;
open yard area, including a covered pipe inspection facility with cleaning bay;
existing covered warehouse;
chemical storage;
covered waste storage area;
equipment marshalling area; and
Cargo Container Unit (CCU).
All installations are situated in the main quay except for the chemical storage and the covered
warehouse, which are situated in the south quay. The surface covered by the base including all
installations is estimated to 36,211 m2
.

16
Operations within the base can be divided into two main categories. Firstly, logistics operations
entailing the storage and handling of all equipment, materials intended for use onboard the
drilling platforms or ships and secondly liquid mud production.
5.1 Logistics operations
5.1.1 Storage and handling of Chemical substances
The chemical storage is composed of two different facilities:
an area of about 1,000 m2
, within the existing warehouse, for the storage and handling
of dry chemical products in big bags;
a new shed of about 350 m2
, to be located close to the existing warehouse, for the
storage and handling of wet chemical products in drums, tank containers and metal
barrels.
The existing warehouse is located in the southern side of Larnaca Port, along the breakwater
quay. The area of the warehouse which is assigned for the storage of dry chemical products is
approximately 1,000 m2
. Suitable chemical protected shed, located in proximity (southward) of
the existing warehouse, will be used for the storage and handling of chemical products in drums,
tank containers and metal barrels.
The shed dimensions are approximately 27 m x 13 m (about 350 m2
) with a minimum clearance
of 5 m and a roof slope 15% for rain water. It is a metallic structure provided with an
impermeable concrete basement and a corrugated covering sheet, open on all sides in order to
guarantee the proper ventilation.
Picture 5.1a, Chemical Storage Shed
The space has a provision for spill containment (bunds of 15 cm) to avoid spillage to the
environment. Furthermore, two sloped areas (slope 1.5%), present on each side of the shed, will
be provided with gutters leading to pits (four in total), aimed at collecting any substances in case
of accidental spillage. The total retention volume prior to overflowing is estimated to be in excess
of 55 m3
.
The foundation will be characterized by a central flat area (drive way), connecting the two ramps
located at the two entry points for the forklifts. A registration system will be implemented for the
management of chemicals and their data sheets will be also kept until the end of their life cycle.
5.1.2 Storage and handling of consumables, casings, drill pipe pipes and materials associated
with drilling operations. Such operations will comprise:
loading and unloading of, drill collar, tools and other drilling equipment, as required,
carriage of typical oilfield goods and materials
loading of fuel oil, water for supporting drilling activities and potable water,

17
transfer of liquid mud, palletized mud materials, bulk mud materials, bulk cement and
other bulk material.
A small water channel is found next to the steel casings cleaning area. Provision has been made
in terms of bunds to avoid drainage of the shed escaping in the channel.
5.1.3 Handling of explosives
Drilling operations require the use of small quantities of explosives. These are to be transferred
from storage locations outside the port area directly for loading on the offshore support vessel
with minimal time of stay within port limits. According to the Cypriot authorities each transfer
of explosives will have to be approved in advance and will be undertaken under the provisions
of Cypriot law and the European Agreement concerning the International Carriage of
Dangerous Goods by Road (ADR).
The explosives mentioned above will not come back to the Logistics Base. This, together with
the strict context for safe and secure transportation to the Base minimise the risk of accident
and exposure.
According to a first estimation the quantities of explosives to be used in the envisaged
exploration drillings campaign of ENI Cyprus Ltd is less than 200kg. More specifically the
estimated amount of explosives required is equal to 25 kgr per well at any one time and only for
the case of emergency and they will be transported by one truck at the beginning of operations.
Over the the full campaign it will remain on the rig. On the basis of this figure the envisaged
explosives volume for 10-12 drillings would not exceed 300 kgr and this quantity would transit
the port during a three year period. Each transportation of the explosives is scheduled to be
especially approved and convoyed by the police at all times and the trucks will be driven by
specially authorized personnel (licensed ADR drivers).
5.1.4 Handling of radioactive materials
Radioactive sources are to be used for radiography in drilling operations. Such materials will be
transported directly from designated storage to the offshore supply vessel for onward
transportation to the drilling ship and are not to be stored within the Larnaca port limits. It is
anticipated that such sources will remain encapsulated and contained in appropriately shielded
containers during the whole transportation process.
A list with an overview of common industrial uses of sealed Radioactive Sources, are presented in
appendix 3. As indicated, radioactive materials are very commonly used in various sectors. The
quantity and strength of such materials used in the current project are similarly of low risk.
5.1.5 Handling of wastes associated with drilling operations.
At the Logistics Base, an exclusive space of about 200 m2
, segregated by a fence will be assigned
in the pipe yard area, to temporary accommodate the produced waste. The area will be paved
with concrete in order to avoid any kind of possible contamination to the soil, equipped with
containment wall and dedicated drainage system with collection pit.
This space is intended for waste produced in the onshore base and only for their temporary
storage. The waste produced in the Logistic base will be collected in appropriate containers and
in reasonable quantities. Wastes will be immediately delivered to authorized operator according
to the Waste Law (L185 (1)/2011).
Picture 5.1b, Containers for waste collection

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Waste will be managed by a licensed Waste Contractor specially appointed and immediately sent
to treatment/disposal in authorized facilities. The waste generated in the base will be transported
by the Waste Contractor to treatment/disposal as soon as the waste container is full and upon
request by the Logistic Base Manager.
Waste produced offshore will be transported from the drilling ship to the shore base through
PSVs. The waste will not be stored in the Base and will be collected upon call by the appointed
waste Contractor (licensed for transferring and treating relevant waste types), within the
minimum timeframe, and transferred to an authorized waste management facility according to
the Waste Law (L185 (I)/2011).
Wastes that might contain NORM/TENORM3
or other radioactive materials shall undergo specific
screeni
ng in order to assess whether or not they exceed the action limits stipulated by the applicable
legislation.
Even though evidence so far and experience from the previous drilling campaign in the port of
Limassol have shown that concentrations of NORM and TENORM are not probable, it is
suggested that procedure to manage such kind of waste in the event of occurrence is to be in
place. This matter is further addressed in the recommendations section.
Innovating Environmental Solutions Center (IESC) is the appointed Waste management
Contractor for ENI Cyprus drilling programme. IESC is an approved Waste Management
Company to arrange for the collection, transportation, storage, recycling, re-use or final
treatment of the waste. IESC premise are located in Agios Sylas area, Ypsonas – Limassol (solid
waste) and Vassilikos area (Ecofuel Cyprus Ltd – liquid waste). Certification of the IESC on ISO
14001 and OHSAS 18001 has been granted by IQNet.
The complete contract covers:
non-hazardous recyclable waste (metals, plastic, glass, paper etc);
non-hazardous non-recyclable industrial waste (empty packing waste, expired, unused
products);
hazardous non-industrial waste (fluoresces lamps, dry cells and other wee);
hazardous industrial waste (chemicals, hazardous packing);
medical waste;
waste oil and oily waters;
oil drilling muds and cuttings.
The Waste contractor has developed specific working instructions relevant to:
decontamination of metal solid waste;
decontamination of non-metal solid waste;
lamp crushing;
handling of battery dry-cells.
The estimated total quantity of waste produced offshore (i.e. onboard the drillingship) during
one well operations is.
approximately 2025 tons of hazardous waste;
approximately 135 tons of non-hazardous waste.
The estimated produced wastes onshore per well is 840 tons of which:
approximately 480 tons of hazardous waste;
approximately 360 tons of non-hazardous waste;
3
Naturally Occurring Radioactive Materials (NORM) and Technologically Enhanced Naturally Occurring Radioactive Materials
(TENORM) consist of materials, usually industrial wastes or by- products enriched with radioactive elements found in the
environment, such as uranium, thorium and potassium and any of their decay products, such as radium and radon. These
natural radioactive elements are present in very low concentrations in earth's crust and are brought to the surface through
human activities such as oil and gas exploration

19
Taking into account the above values, the estimated overall quantity of waste (all typologies,
onshore and offshore) produced during the operation for one well is approximately 3000 tons
Considering the drilling mode, the average fuel consumption is estimated around 35-40 m3/day.
The drilling ship is fitted with a fuel oil system that serves the following areas and systems:
main generators;
auxiliary boiler;
incinerator (not used during the normal project activities);
emergency generator; and engine-driven fire pump.
Expected total quantities of the waste produced onshore for the entire drilling campaign of four
firm wells (considering approximately duration of one year) are [1]:
1,920 t hazardous waste, including mainly Liquid Mud Plant waste;
1,450 t of non-hazardous waste, including:
(i) 150t of mixed waste, metal drums and domestic waste,
(ii) 1,300t of sanitary wastewater (as anticipated, in order to minimize the overall waste
production, arrangements are being made for connecting the Logistics base to the local
sewage network. However, it was assumed conservatively a production of 1.300t of sanitary
wastewater).
Reconditioning operation are expected to be carried out on the drilling ship, but may be carried
out in the Logistic Base at the Liquid Mud Plant at the end of each well or in specific contingent
conditions.
Regarding the LTOBM cuttings, the estimated quantity for the entire duration of the drilling
campaign (No. 4 wells) is 2600 tons. Waste quantities related to such waste typology are already
included in the estimated 3000 tons for one well.
Furthermore, for the support activities the following consumption are foreseen:
about 10 m3/day for each PSV; and
about 0.6-0.7 m3/day for helicopters.
Considering the total duration of the activities the total consumption of fuel is estimated as
reported in the following Table.
Type of vehicle Fuel consumption
(per well) (m3
)
Fuel consumption
(4 wells) (m3
)
Drilling Ship 3.2* 103 12.8*103
Supply Vessels (1) 3.3*102 13.2*102
Helicopters (2) 16.1 63.7
Table 5a – Fuel Consumption
5.2 Liquid mud production
According to the approved operator’s planning, a Liquid Mud Plant and bulk storage facilities will
be constructed in the central part of the logistics base. The Liquid Mud Plant (LMP) (1,530 m²) is
designed to provide the offshore drilling unit with the following fluids, typically used for drilling
operation (“drilling mud”):
brine (salty water) typically composed of water and salt (sodium chloride and/or
potassium chloride and/or calcium chloride) used for the initial riser less section of the
offshore wells or as completion fluid after the drilling operations;

20
Water Based Muds4
(WBMs), typically composed of fresh water, salt and/or
bentonite/barite and additives;
Low Toxicity Oil Based Mud5
(LTOBM) typically composed of low-toxic and low-aromatic
base oil, barite and additives.
A detailed reference on the LTOBM components is presented in Appendix 2.
The process carried out in the LMP includes:
storage of base oil, mud and bulk (powder);
mud premixing (brine, WBM and LTOBM); and
mud regeneration (LTOBM) (if needed).
Picture 5.2a: Liquid Mud Plant installation point
The LMP allows for storage capacity for the drilling operation in order to provide the drilling ship
with base oil, muds and bulk products. LTOBM are treated on the drilling ship for solid removal
(cuttings) and for the correction of the properties of the mud (physical properties, such as pH,
rheologic properties, specific gravity etc.). Only in specific contingent conditions, LTOBM should
be reconditioned onshore and sent to one of the following:
the mixing tank, in order to add chemicals (e.g. pH modifier); or
mud centrifuge that allows for barite removal (stripping), in order to decrease the
specific gravity of the fluid.
Regenerated mud is stored in tanks and then pumped to the PSV for its transportation. Premixing
of muds can be carried out in the LMP, in premixing tanks. The base oil and bulk are stored in
storage tanks and silos respectively and are transferred to the premixing tanks by the plant
piping. Other chemicals in bags, drums, etc, used for mud preparation, can be added by means
of hopper or added to the premixing tanks. These chemicals are stored in the dedicated area of
the Logistics Base and the quantities needed for operation are transported to the LMP area
according to the daily process need (no storage is expected within the LMP area).
Mud premixing is carried out in batch and the mud is transferred to the storage tanks. The
premixing procedure is continued until the final volume needed is obtained. Thus the mud is
stored in tanks and can be pumped to the PSV by piping and flexible hoses and then transferred
to the drilling ship.
4
Detailed reference on appendix 1
5
Detailed reference on appendix 2

21
The anticipated LMP capacity is approximately 1,400 m3
. The anticipated number of tanks will be
26 (No. 24 storage tanks and No. 2 premixing tanks). Each tank is connected to the
premixing/pumping system and is equipped with isolation valves and by-pass lines.
The LMP includes the following equipment:
Fluid storage tanks: used for the storage of fluids produced or returned to the LMP. The
LMP design includes No. 24 prefabricated modular horizontal tanks conforming to ISO
standards. High cube shipping container specifications, with individual tank capacity of
54 m3
. The tanks are expected to be installed in two overlapping rows;
premixing tanks: fluids can be premixed at the LMP facilities in No. 2 horizontal
premixing tanks with individual tank capacity of 40 m3
;
premixing and transfer pumps: centrifugal pumps are used for premixing and
transferring fluids;
mud mix hopper: the mix hopper is an in-line platform and a conical opening for adding
products that are required in the fluids premixing;
agitators: agitators are high-efficiency mud-mixing units offered in a wide array of
custom sizes and configurations to accommodate virtually any mud tank;
mud centrifuge: used to remove barite from heavy mud (this kind of equipment is not
expected to be used very often in the normal operating conditions of the LMP);
piping.
5.2.1. Bulk (Powder) Storage Facilities
The barite and bentonite for mud preparation is provided by Bulk Powder Facility capable to store
bulk material needed for the operations, in particular barite and bentonite. Barite and bentonite
will be provided by trucks in big bags (1-1.5 t) and will be stored in the existing warehouse (dry
chemicals storage area) near the LMP and transferred to the LMP/Bulk facility as needed; in the
plant the big bags will be cut through hoppers and stored in the silos; It is anticipated that any
cutting of the bags will be undertaken in semi enclosed box leaving only one side exposed and
will be fitted with vacuum pump to minimise dispersal of dust in the atmosphere.
Empty big bags will be sent for disposal in accordance to local regulations. The bulk facility has a
capacity of approximately 640 t of bulk materials and is equipped with lines and fittings to load
supply vessels and receive bulk material from supply vessels as well. The bulk plant is also
equipped to cut big bags and has pressure vessels (silos) loading rate of 20 metric t/hours. The
silos are equipped with weight sensor in order to determine the exact weight of barite/bentonite
transfer and can be operative up to 24/24 hours, on request.
The bulk facilities include the following equipment:
bulk storage tanks: planned bulk storage area will include No. 7 vertical silos, with a
height of approximately 10 m (No. 3 for barite/bentonite with capacity of 62.3 m3
each
and No. 4 for cement with capacity of 38 m3
);
air compressor;
dust collector;
cutting bottle.
Concerning loading and unloading operations, the piping system of the bulk plant, jetty and mud
plant is capable to conduct, without interference, simultaneous operations of:
Loading/unloading vessel;
Loading silos; and
Delivery of barite/bentonite to liquid mud plant.
The LMP is also provided with transfer lines, consisting of flexible hoses aimed at pumping the
mud and bulk materials to the PSV without interference with LMP operations. The distance from
the mud plant to the PSVs berthing area is approximately 100 meters.

22
According to the operator’s procedures the piping shall be regularly inspected and
loading/offloading operation of the supply vessels manned in order to avoid undetected spill.
Dedicated equipment will be available at the Logistic base for a prompt response in case of any
release to the marine environment and the Base personnel trained to its use.

23
6. Environmental impact
The potential impact on the environment from the activities on the Logistics Base can be
categorized as follows [2]i
:
Direct (or primary): impact that result from a direct interaction between a planned
project activity and receiving natural and human environment;
Indirect: impact that follow on from the primary interactions between the Project and its
natural and human environment as a result of subsequent interactions;
Cumulative: impact that act together with other impact (including those from concurrent
or planned future third party activities) to affect the same resources and/or receptors as
the Project;
Perceived: changes that may be unconnected to, but blamed on, the Company. These
are identified and assessed through stakeholder engagement and consultation.
In the current section, all the impact is reviewed through all phases that concern the project; the
construction of the site, the operation of the project and the decommissioning phase.
The Table below presents the main components comprising the physical environment and further
summarizes the aspects and possible impact in a generic manner. This has also been the subject
of the EIAs. An analysis of the aspects-impacts in relation to the onshore activities on the
Logistics Base is also offered.
Component Environmental Aspect Environmental Impact
Air
Emissions to atmosphere (Nox, SOx,
PMs, VOC)
atmospheric pollution
release of toxic fumes
Use of Ozone Depleting Substances
(ODS) like halon etc.
local impact to climate
Dust atmospheric pollution from dust
Water
Releases to the sea and/or surface
waters of drilling cuttings, sewage,
chemical products
marine pollution
surface water contamination
changes in physical/ chemical characteristics
of water (temperature, salinity etc.)
Subsoil / Soil
Releases to the soil, subsoil soil and subsoil pollution
Geological and hydro-geomorphological
situation
changes in surface hydrology and drainage
patterns
pollution of water tables
Landscape
Generation of Noise
acoustic pollution
problems with local communities
Generation of Odours problems with local communities
Waste management (hazardous & non-
hazardous)
soil/ subsoil contamination
Generation of traffic generation of atmospheric pollution, fine dust
Physical presence on site Visual impact/ modification of landscape
Table 6a. Significant Environmental Aspects and Impacts

24
6.1 Impact on Air Quality
During the customary operation of the Logistic Base, the energy requirements will be provided by
local grid (320 kW anticipated). Also two generators will be available (capacity 545 kW each) to
cover any additional power requirements, in particular for the Liquid Mud Plant operation.
In this case, the main air emissions due to onshore support activities will be represented by these
generators. Common combustion pollutants will be emitted due to these generators (CO, NOx,
PM, SOx, VOCs) and is additionally expected dust emission from bulk product loading. The
pollutants are expected to be rapidly diluted and dispersed in the atmosphere, depending on
weather conditions.
In the Logistic Base area, various operations such as receipt, storage, handling and transportation
to/from the offshore drilling unit of materials, equipment and goods are expected to be carried
out. Moreover, emissions due to trucks, forklifts and vehicles for materials provision/handling will
be emitted, but these are of lower significance.
Additionally, regarding the operation of the shore base in Larnaca, due to nature and limited
influence area of air emissions, the impact associated to the related fallout may be considered of
low and limited. Similarly, air emissions and dust dispersion are also equally anticipated by the
additional port activities, which is something that needs to be carefully taken into consideration
in the environmental equilibrium.
Due to the nature of the project, the Logistic Base in the port of Larnaca will be in place
temporarily and then depending on the results of the drilling campaign this could be dismantled
or the decommissioning date postponed. Eventually, decommissioning operations need to be
also assessed. The later phase could generate two types of air pollutants:
combustion emissions generated from the dismantling by equipment and yard vehicles;
any dust generated by dismantling and vehicles movement.
Subject activity is considered of low impact since it is characterised by temporary duration and
limited extension, i.e. taking place only on a small part of the Logistic Base.
6.1.1. Control mechanisms
As far as dust is concerned a 24hrs Air Quality Monitoring Station could be used; the present
one, 2km from the port at Larnaca Academy, is deemed too far away. The Labour Department.
assessed that the station suffices to monitor the level of the dust and the quality of the
atmosphere during the research drilling campaign.
6.1.2. Mitigation measures
In response to the local community’s concerns about allergies and respiratory problems arising
from inhaling dust from the Liquid Mud Plant, ENI has put in place certain actions to minimise
adverse effects.
In order to avoid the dispersion of dust, the bulk cutting bottle will be provided with
containment closed-wall cabinet system and a dust remover system will be installed at
the bulk facilities achieving the minimization of the dust dispersion from bulk powder
materials handling. The warehouse where these actions will take place is an enclosed
space where the dust will be transported in big bags and cut inside and transferred
through a funnel leaving minimum possibilities for material escape.
vessels stationing in the port will depart at partial power, achieving full power only after
leaving the port area and avoiding or limiting the pollutants emissions while in port or
during unfavorable atmospheric conditions;
exhaust systems and engines will be operated and maintained, in accordance with the
manufacturer’s specifications;
preventative maintenance, leak detection and repair programs will be employed;

25
6.2 Impact on Water Quality
Sewage or process discharges will not be originated by the activities performed on the Logistic
Base.
The only discharge into the sea possible is stormwater from paved areas that are not expected to
be polluted. The chemical storage area and the LMP area will be paved and confined by
containment walls, the drained rainwater from the external paved areas will not be
contaminated.
All liquid wastes from LMP will be collected in adequate containers in the Logistic Base and
managed by the Waste Management Contractor appointed for the waste management of the
Logistics Base, holder of the required permits, in accordance with a dedicated waste
management Plan submitted to Authorities, and sent for treatment/disposal in an authorized
facility.
Sanitary wastewater (e.g. shower, toilets) due to the presence of the personnel will be supported
by the Logistics Base, collected in a dedicated leakproof underground tank and periodically sent
to treatment in an authorized facility. Arrangements are being made for connecting the Logistics
base to the local sewage network, in order to minimize the overall waste production and the
need of transportation of such waste.
Hence the impact on water and sea water within the port and its vicinity, by activities carried out
on the Logistic Base should be considered not significant. This is the case, even when considering
the impact of untreated sewage that could possibly be discharged into the marina area from
yachts entering the port or being at berth.
6.3 Impact on Soil and Subsoil Quality
The location of part of the Logistic Base is in the western part of the Port of Larnaca, on
reclaimed land, previously used for outdoor storage and technical/engineering applications and
including existing asphalted areas, road and port structures.
By assessing the workplace, the materials used and that could potentially cause spills and
therefore contaminate the ground will be stored in covered places and on well non-permeable
floor. All stored material will be registered and the storage areas kept clean and tidy. This area
will be paved and equipped with adequate containment system and dedicated drainage system,
in order to avoid any release to the environment.
The onshore waste management will be carried out, in accordance with applicable regulation, by
a licensed Waste management Contractor, in accordance with a dedicated Waste Management
Plan submitted to Authorities. Domestic waste will be managed by the Cyprus Port Authority.
Appointed licensed Contractor will manage the wastewater that is expected to be collected in a
leakproof underground tank and sent to treatment in authorized facilities. Arrangements have
been made for connecting the Logistics base to the local sanitary network, in order to minimize
the overall waste production and the need of transportation of such waste.
Taking into consideration the above and after the onsite review of the workplace, impact on
onshore soils by support activities carried out on the Logistic Base are not expected to have
significant impact.
Regarding the decommissioning phase, the onshore Base will be in place temporarily, and is
expected to be dismantled after the completion of the frilling campaign. The main
decommissioning activities involve:
removal of all the mechanical equipment/installation and piping; and
dismantling of all installations specifically built for the project (LMP and bulk facilities).
Potential interactions during decommissioning activities on soil are attributable to production of
waste. The concrete base of the LMP will be either left in site or broken up and removed from

26
site, depending on the requirements of the next user of the land. A waste typology will be
produced and a licensed Waste Management Contractor will manage the produced waste during
the dismantling activities after their collection in appropriate container.
The impact on onshore soils by decommissioning of the Logistic Base are expected to be low.
To prevent even the potential impact, the suggested mitigation measures presented below shall
be implemented:
all areas dedicated to activities with potential presence and release of pollutants will be
paved and safely contained (containments wall and internal drainage system with
collecting point and sump) in order to avoid release of oil to the environment;
all materials that may contaminate the ground in case of spill will be stored in covered
places and on well non-permeable floor;
any chemical storage tanks will be designed to meet applicable regulatory requirements
as well as best industry practices and manufactured according to the latest relevant
industry standard;
handling of oil derivates for refueling will be performed with maximum care;
equipment and vehicles will operate within the designated work areas and roads.
The overall assessment and measures taken are considered adequate enough for ensuring the
appropriate management of the impact on the soil quality.
6.4 Impact on Landscape
The area that the project will take place, highly urbanized, is already influenced by many
anthropogenic noise sources. An influence in noise emissions is however expected, mainly by
vehicles and trucks, the diesel generators and the LMP equipment, namely pumps, centrifuges
system and compressors, for a period of about 320 days6
.
The subject of noise, which is of critical concern due to the proximity of the base to residential
areas, special conditions were imposed from the Department of Environment with 4 points of
noise measurements and 3 points in time (reference point measurements – during construction –
during operation). The first oil company to begin its drilling campaign has already signed a
contract with a specialised company to monitor noise levels and analyse the readings.
Furthermore, there is a breakdown noise thruster for monitoring the noise and although more
activities in the port area are happening simultaneously, the noise impact due to the Logistic Base
will be kept at a minimum level.
It has also been noted that sound attenuation for generator is provided by a weatherproof
acoustically insulated enclosure.
Sound breaker screens can be installed around the LMP, should measurements indicate that
these are needed, in order to reduce the noise level to the offices and minimize noise nuisance to
the existing buildings close to the residential areas out of the Port.
For logistic support purposes, together with the Larnaca Port, the Helicopter Terminal and the
International Larnaca Airport have been identified and the activities noisier during helicopter
landing will be done in appropriate airport areas.
Regarding the onshore support activities, due to the anthropized nature of the areas involved
and the limited influence area of noise emissions, the impact associated may be considered of
low entity and circumscribed.
6
These 320 days correspond to an estimate of 80 days per each well drilling operation to be conducted by Eni (Cyprus) Ltd
in Block No.9

27
As previously mentioned, the decommissioning activities of the Logistic Base are expected to
have limited duration and will mainly produce noise emissions by:
dismantling activities;
power generators, equipment and vehicles.
The noise impact is at local scale and temporary and may be considered low.
On another angle, waste management of hazardous and non-hazardous materials, also comes
under the impacts on the landscape. Discussions here revolve around NORM/ TENORM that may
be present during storage and transportation of drilling cuttings that pass through the Logistics
Base for delivery to the waste management contractor (IESC).
Storage and transportation of drilling cuttings will take place in specially designed containers,
suitable for the transportation of combustible liquids, equipped with hinged and casketed lids
and secured with forged flange nuts and swing bolts. Containers can contain up to 12 tones
mud cuttings and are specially designed for offshore dynamic lifting, in accordance with
international standards.
As regards to the quantities involved in the drilling campaign. It is anticipated an average number
of 8 trucks per week, among which a number of 4 to 6 truck are dedicated to the transportation
of the LTOBM drilling cuttings.
Picture 6a: Example cuttings box container
Insignificant amounts of naturally occurring radioactivity is present virtually everywhere in the
physical world. Regarding the scope of operations to be supported from the Logistics Base in
Larnaca, concerns arise, only upon detection of radioactive ores in the drilling cuttings.
Findings from the drillings in Israel and the previous wells in Cyprus have shown that there are no
concerns. As previously stated, the radioactive density of naturally occurring radioactive ores is
particularly low and it constitutes a natural phenomenon.
Within the scope of ENI’s drilling campaign, cuttings are stored on the drilling ship in specially
designed skips equipped with sealed closure and certified release. Then the skips are transferred
to the onshore base where they are collected by a licensed waste contractor (IESC).
Radioactivity levels should be measured continuously during the drilling operations and in case of
high levels of radioactivity, measures should be taken for the handling of the cuttings in
accordance to the company’s group procedures and international practice.
Operators claim that loading/offloading waste operations should take place twice per week.
Considering that the duration for the overall drilling campaign is 48 weeks, this corresponds to
approximately 96 passages from and to the Logistics Base and total produced waste of
approximately 8.700 tones.
Electronic devices used for radiography and transported through the logistics base to the well
sites, contain small amounts of radioisotopes that are encapsulated, isolated and pose no threat.
At this point it would be useful for the reader to note that there are numerous uses of radiation
emitting sources for high technology purposes, even in hospitals neighboring residential areas.
In the particular case of Larnaca Logistics Base, the Radioactive Isotopes will be managed by a
certified supplier. Isotopes are kept in a secure area in Vasiliko and when requested to leave the

28
storage area they are loaded for calibration and then on trucks. Transportation shall take place in
securely closed containers with an average time period spent at port of 30 minutes. Indicatively
of the low risk entailed is the fact that Personal protective equipment (PPE) is not required for the
transportation of the sealed capsules containing radioactive isotopes. According to ENI, the
approximate quantity of radioisotopes to be transported through the logistics base is 25 g in the
overall drilling campaign at maximum.
6.5 Technical Review of the Liquid Mud Plant (LMP)
The design and operation of a Liquid Mud Plant inside the port area has received heightened
attention from the people in Larnaca. This part of the report has considered all environmental
and health impacts arising from the above activities/ areas in the Logistics Base, with a view to
minimise significantly the potential for the most dangerous identified possible accidents, which
are defined as:
Process releases and pollution (risk of inhalation, absorption, injection or ingestion);
spill/leakage (release of toxic and harmful substances in the environment);
fire/explosion;
operator error and chemicals release during chemicals handling;
falling of store materials on the shelves, liquid drums, and chemical pallets.
This specific part of the report has reviewed the Preliminary Environmental impact Reports for
chemical storage and Liquid Mud Plant and has also examined the content of HAZID referring
only to the onshore activity of the drilling campaign.
Findings are presented in the form of a Table, together with the recommendations from Lloyd’s
Register and the comments of the first Operator to commence their research drilling campaign at
the port of Larnaca, namely ENI Cyprus Ltd.

29
Table 1: HAZID review-LMP
No. Area LR Comments & Recommendations Input by ENI Cyprus ltd.
1 Overall
For a majority of the guide words the recommendation of "Training
and qualification of management control" is given.
A more concrete recommendation is preferable for each guide word in
order to prove that the risk is reduced from Medium to Low. For
instance, give references to all documentations regarding working
procedures etc.
Detailed information about procedures, training and management plans has been
provided to the Authorities by ENI Cyprus Ltd. The training given to the workers
includes:
Waste Management Plan workshop (by the waste management contractor-
IESC);
20 rules of Contract Responsibilities (by the LMP contractor – Halliburton);
MEDSERV Company's Policies;
Practical training on banking the crane from a trailer;
Initial induction;
Defensive drive;
Basic First Aid;
Site Health and Safety induction & Site induction;
Safety observation Program;
Permit to Work, HSE Meeting, Toolbox Talk training and onshore terms
license;
Incident investifation;
Oil Spill Kit Handling Familiarization (in house and onsite) and drills;
Working at height and harnesses;
Basic Fire Fighting awareness, Fire Extinguishers-Manual and Handling-
Observation Cards Training;
ADR: Simi Lifejacket Familiarization and use;
Familiarization on Fork Trucks including charging of the electric fork truck;
Foreklift Truck Training;
Crane Operations, Banks Man and Rigger Training;
Training in classroom (Webbing slings, Signals for banking the crane,
Shackles, Containers, Riser pipes and other tubulars, Deck Plans for vessels,
Staying safe when loading, Use of radios);
Control of Substances Hazardous to Health (COSHH).

30
Regarding the Chemical handling and the LMP operations, the Halliburton
University (HAL-U) online is a system used to manage the training assignment and
to register the training session results. Furthermore, the Hal-U system is used to
ensure the suitability of the workforce to the assigned tasks.
2
Fire &
explosion
Only flammable release of hydrocarbons is mentioned to give
fire/explosion hazards. No information presented regarding what type
of hydrocarbons, quantities and potential ignition sources.
Fire Risk Assessment has been conducted for the Logistics Base in cooperation with
the Fire Brigade of Larnaca.
The fire risk assessments (including the Chemical Storage warehouse, the shed and
offices) was completed to complement the application to the Larnaca Fire Authority
and has been conducted considering the following steps:
identification of hazards;
identification of people at risk;
evaluation the risks of fire and assessment of existing fire safety measures;
record significant findings, assess and plan periodic review.
It has to be underlined that the fire risk assessments include, in particular, a list of
possible stored chemicals and flammability classes.
Other combustible material is not mentioned; diesel fuelled forklifts,
electrical installation material, electrical forklifts and its chargers,
attending trucks, diesel storage packing material etc.
The review of safety data sheets for chemicals to be stored within the
base indicated several potential fire/explosion hazard events that might
threaten the closely located urban environment.
Mainly, in case of warehouse fire, toxic decompositions of the
chemical will develop a toxic plume that might expose the area
around the port of Larnaca.
Several hydrocarbon based chemicals are identified that needs
extra concern in a risk analysis. Exposure of chemical drums to
heat, might lead to a potential explosion risk
A number of issues are recommended for further investigation:
Toxicity/ composition of fuel gas from fires
Dispersion of the flue toxic gas and possible consequences to
surrounding areas (eg.use of consequence modelling in Phast or
similar is recommended)

31
Handling of runoff water from fire-fighting is not mentioned in the
Pre-EI (or HAZID-RA).(Ref. the Sandoz accident in 1986 where a
warehouse fire caused large environmental damage.) Operators to
investigate how runoff water from a fire is handled in order to minimize
risk of contamination to sea or soil.
Regarding the handling of potential water from fire-fighting, it has to be noticed
that the chemicals are stored in dedicated areas, with impermeable pavement and
dedicated containment drainage system and bund.
A more detailed presentation of fire-fighting measures is lacking.
Regarding firefighting system, it has to be underlined that the Logistics Base is
provided with appropriate equipment and the Base personnel trained to their use.
The escape route, as well as the safety and firefighting system are clearly marked
and signalled and their position identified on the Logistics Base emergency plans.
3 Draining
Several of the chemicals are found through review of their safety data
sheets to be very harmful to the environment when released.
Therefore, it shall be prevented from entering sewers, waterways, or
low areas. Following actions are recommended:
Include draining capabilities at areas where loading/offloading of
chemicals are carried out (if such operations are carried out outside
the storage area)
Clarify if the drain system can handle larger amounts of water in
case of fire accidents, regularly cleaning or heavy rains.
Regarding potential draining of pollutant, it has to be highlighted that no liquid
discharge is expected during the operation of the Logistics Base, including the
Chemical Storage and the LMP. Furthermore, as reported in the Pre EIs, the
following shall be highlighted:
chemicals are stored in dedicated areas (with impermeable pavement, dedicated
containment drainage system and bund) in appropriate containers placed on
ground and metal structures, appropriately spaced so as to ensure the
separation between the various types of products also basing on their
quantities, characteristics, physical state and behavior and after taking into
account the relevant information found in their Safety Data Sheets;
any water within the contained area is collected at a low point, in a dedicated
tank equipped with a sump pump;
the piping is regularly inspected and loading/offloading operation of the supply
vessels manned in order to avoid undetected spill;
dedicated oil spill response equipment are available at the Logistic base for a
prompt response in case of any release to the marine environment and the Base
personnel trained to its use.
4
Chemical
handling
The risk within the warehouse has been covered in the Pre-EI (HAZID-
RA). However, accidental scenarios mentioning transfer operations and
internal traffic are not considered (or documented) in the HAZID-RA.
Spill/leaks from trucks and transfer operations (forklift transfer and
crane transfer) are not well described. Collisions within the chemical
storage area (e.g. between trucks and forklifts) could pose a risk for
spill/leakage. These releases could be outside the containment
arrangements of the storage areas and pose a risk of contamination of
sea or soil.
A Transport Management Plan is established for the all Logistics Base and personnel
assigned to chemicals handling is properly trained.
Furthermore, oil spill kits are available in the Logistics Base for any intervention in
case of spill/leakage.
Potential dangerous accidents are identified for the Chemical Storage in the Pre EI
taking into consideration the HAZID. HAZID includes chemical handling and any
operator error and chemical release as associated hazard/scenario.

32
For the OSCP and ERP the risk of accidental spills from all transfer
operations and possible internal traffic collision should be assessed.
The Oil Spill Contingency Plan (OSCP) and Emergency Response Plan (ERP) cover the
possible emergency scenarios due to e.g. oil and chemical pollution, fire/explosion
and serious road accidents.
5
Liquid
Mud &
Bulk
Plant,
overall
comment
A HAZOP (or corresponding process hazard assessment) is
recommended to be carried for the LMP. A HAZOP would cover both
the process and operations (human error etc.) For instance:
Environmentally dangerous substances?
Any process releases that could pose a fire/explosion risk?
Hazards related to drop of heavy objects as containers, bags with
chemicals etc.
The HAZID–RA has been carried out for the Logistics Base of Larnaca, for the
drilling ship and supply/supporting vessel and helicopter activities.
ENI Cyprus will evaluate the opportunity, at the proper stage of the project, to
conduct the HAZOP.

6.5.1. The issue of Radioactivity levels in the Mud
Regarding the concerns raised by part of the population on the levels of radioactivity in the
Mud produced, the results from measurements in the respective Logistics Base operating in
Limassol have returned no significant figures.
More specifically, the Ministry of Labour, Welfare and Social Insurance holds the responsibility
for the implementation of the regulatory framework governing all relevant aspects to ionizing
radiation in Cyprus (including use, introduction, transportation, discharge etc). Within the
context of the above merit, continuous monitoring of the quality of air, water, soil and food
chain takes place, in respect of the levels of radioactivity, with a view to protect the human
health and the environment.
Results from analysis of mud samples in December 2013 at the port of Limassol –during the
research drilling campaign of Noble Cyprus Ltd.- have shown that the levels of radioactivity
arising from the drilling mud are far less than the acceptable levels of exemption or release
defined by the relevant Legislation and numbers were within the acceptable limits of
radioenergy in the physical environment of Cyprus; hence the mud was not considered to be a
radioactive material.
The official Letter of the Cypriot Ministry of Labour, Welfare and Social Insurance, dated 26th
August 2014, has been attached herewith as Appendix No.8 for further reference.
6.6 The issue of application of SEVESO II Directive arising from the chemicals
storage
The application of SEVESO II Directive (Directive 96/82/EC) in respect to the existing oil storage
facilities lies with the local authorities. Land use planning on the other hand depends among
other on the risk and safety profile of other previously existing SEVESO II facilities in the area (i.e.
Oil Storage installations). It is also noted that as far as quantitative and qualitative acceptance
criteria are concerned not all countries apply the same methodology.
On the question whether the logistics base qualifies for a SEVESO II installation we have carried
out a review on the basis of envisaged chemicals quantities to be stored and the conclusion has
been that the chemicals storage facility does not qualify under the SEVESO II thresholds.
The methodology applied is presented herewith by the following straightforward steps. All
substances of interest for the Seveso II Directive have been identified and then grouped in
categories of dangerous substances (toxic, flammable, etc.).
The maximum expected stored quantities have been then compared with the limits (“qualifying
quantities”) set by the Seveso II Directive.
The following table summarizes for each categories of dangerous substances the overall
maximum expected stored quantities and relevant “qualifying quantities” of the Seveso II
Directive. A full presentation of substances involve in the assessment exercise is available in
Appendix No.67
7
It needs to be noted at this point that the expected stored quantities of hazardous chemicals, have been conservatively
estimated.

33
6.5.1. The issue of Radioactivity levels in the Mud
Regarding the concerns raised by part of the population on the levels of radioactivity in the
Mud produced, the results from measurements in the respective Logistics Base operating in
Limassol have returned no significant figures.
More specifically, the Ministry of Labour, Welfare and Social Insurance holds the responsibility
for the implementation of the regulatory framework governing all relevant aspects to ionizing
radiation in Cyprus (including use, introduction, transportation, discharge etc). Within the
context of the above merit, continuous monitoring of the quality of air, water, soil and food
chain takes place, in respect of the levels of radioactivity, with a view to protect the human
health and the environment.
Results from analysis of mud samples in December 2013 at the port of Limassol –during the
research drilling campaign of Noble Cyprus Ltd.- have shown that the levels of radioactivity
arising from the drilling mud are far less than the acceptable levels of exemption or release
defined by the relevant Legislation and numbers were within the acceptable limits of
radioenergy in the physical environment of Cyprus; hence the mud was not considered to be a
radioactive material.
The official Letter of the Cypriot Ministry of Labour, Welfare and Social Insurance, dated 26th
August 2014, has been attached herewith as Appendix No.8 for further reference.
6.6 The issue of application of SEVESO II Directive arising from the chemicals
storage
The application of SEVESO II Directive (Directive 96/82/EC) in respect to the existing oil storage
facilities lies with the local authorities. Land use planning on the other hand depends among
other on the risk and safety profile of other previously existing SEVESO II facilities in the area (i.e.
Oil Storage installations). It is also noted that as far as quantitative and qualitative acceptance
criteria are concerned not all countries apply the same methodology.
On the question whether the logistics base qualifies for a SEVESO II installation we have carried
out a review on the basis of envisaged chemicals quantities to be stored and the conclusion has
been that the chemicals storage facility does not qualify under the SEVESO II thresholds.
The methodology applied is presented herewith by the following straightforward steps. All
substances of interest for the Seveso II Directive have been identified and then grouped in
categories of dangerous substances (toxic, flammable, etc.).
The maximum expected stored quantities have been then compared with the limits (“qualifying
quantities”) set by the Seveso II Directive.
The following table summarizes for each categories of dangerous substances the overall
maximum expected stored quantities and relevant “qualifying quantities” of the Seveso II
Directive. A full presentation of substances involve in the assessment exercise is available in
Appendix No.61
1
It needs to be noted at this point that the expected stored quantities of hazardous chemicals, have been conservatively
estimated.

34
Categories of dangerous
substances
(Column 1 of table in Part 2 of
Annex I to the Seveso II Directive)
Overall
maximum
expected
stored quantity
[t]
Qualifying quantities
(Column 2 of table in Part
2 of Annex I to the Seveso
II Directive) [t]
Summation rule
1- Very Toxic 1,4 5 1,4 t / 5 t
2- Toxic 5,4 50 5,4 t / 50 t
3- Oxidising 2,0 50 2,0 t / 50 t
6- Flammable 10,8 5000 10,8 t / 5000 t
7b- Highly Flammable Liquids 5,3 5000 5,3 t / 5000 t
8. Extremely Flammable 2,1 10 2,1 t / 10 t
9i- Very Toxic To Aquatic
Organisms
10,2 100 10,2 t / 100 t
9-ii Toxic to Aquatic Organisms 5,5 200 5,5 t / 200 t
= 0,77
According to the Seveso II Directive summation rule to the table above, the total is 0,77. A
number lower < 1 means that the Seveso II Directive would not apply.
Further to the available information and the methodology applied, it has been verified that the
chemicals of potential interest for the Seveso II Directive do not exceed:
the qualifying quantities for named substances (Column 2 of table in Part 1 of Annex I to
the Seveso II Directive);
the qualifying quantities with regard to the categories of dangerous substances (Column
2 of table in Part 2 of Annex I to the Seveso II Directive);
the overall hazard associated with toxicity, flammability and eco-toxicity that have been
assessed according to Note No. 4 of table in Part 2 of Annex I to the Seveso II Directive.
On the question how the settlement of the logistics base in the port could be affected by the
previous Oil Storage installation in the area, the following applies.
With reference to the guidelines [3] entailed in the document which has also been referred
during the public consultation the location of logistics base within the port present an ISO Risk
contour of 10-9
, this translates into risk zone classification of R3. Under this risk contour and the
tables used for land use it appears that simple acceptance or acceptance under conditions would
in any case apply for the logistics base in port.
As far as prospective cumulative effects of an incident occurring in the oil storage installation are
concerned the following is noted. The ISO risk contour profile may provide an indication but if
required to assess such a prospect in detail, analysis of all safety documents associated with the
Oil Storage installations would be required. In such case a quantitative risk analysis would seem
of greater essence. Also refer to the recommendations section.

35
7. Socioeconomic impact
It is anticipated that the use of Larnaca port as a supporting station to the offshore exploration
drilling operations in the Cypriot EEZ may impact either directly or indirectly a number of aspects
of social and economic life in the city. The scope of the socioeconomic impact assessment is to
assess the envisaged economic influence in various sectors like tourism and other factors that
could affect the growth of Larnaca.
The objective is to clearly essay any positive and negative impact arising from the hydrocarbon
activities to the local community taking into consideration any potential developments as dictated
in the current state and prospective development projects. This analysis aims to compare the
current no-change scenario against the use of Larnaca port as a Logistic Base to the offshore
drilling explorations taking also into consideration the probability of developing a hydrocarbon
cluster in the city.
7.1 Employment
The offshore oil and natural gas industry can have a significant contribution to employment,
commensurate to the magnitude of operations the availability of skillful labor force in the area.l
Numerous examples from other cities demonstrate the beneficiary effects that hosting an Oil &
Gas cluster has on the development of the economy and at the employment rates of the city.
More precisely in the Larnaca’s case, at the first stage of the explorations, there will be four wells
that will be explored. According to the operators of the existing logistics base, the personnel that
will be occupied within the base will be approximately a hundred people directly employed in the
logistics base, however more than two hundred people have already been working for various
activities in the project so far.
It is anticipated that there will be a significant multiplier factor of indirectly connected people
that will be employed during the operation of the Logistic Base.
One of the primary potential benefits, i.e. the deployment of the logistics base could be the
development of an offshore oil cluster for the workforce in Larnaca with important
considerations for the future of the city. It should be noted though that such advancement is
likely to happen in the apparent case that the exploration will be resourceful.
Offshore oil & gas production consistently stimulates onshore economies globally, regardless of
the former status and structure of their local economy. Indicative examples are Canada and
Norway, but also numerous emerging economies.
Another important example of economic change from the Oil & Gas offshore industry that can
be associated with the case of Larnaca is Aberdeen [4].This is the only large city in the UK to
grow its economy even during the financial crisis between 2008 and 2009. According to the Oil
& Gas UK’s Economic report (2012), the multiplier effect indicates that for every direct job, seven
and a half (ratio 1 : 7.5) new ones are created indirectly which account for 75,000 jobs in
Aberdeen areas which are supported by industry.
In consequence, the advantages of hosting an Oil & Gas cluster are noticeable. Aberdeen, being
an Oil & Gas capital in Europe with the potential of becoming a significant world energy city, has
certainly spearheaded the UK’s successful exploitation of Oil & Gas over forty years and helped
make a massive contribution to the UK economy on balance of payments and employment.
The social stability of Cyprus and Larnaca, in particular could prove of importance in the effort of
operators and oil companies in seeking lower or higher caliber labor. It is advised however that
besides the current level of employment absorbed by the base and if the exploratory phase
concludes successfully the opportunities for further employment will significant increase
rendering this sector as a strong contributor to the city economic life. It is suggested that at this
second phase detailed planning and working closely with oil companies will be needed to ensure
this effort will have the maximum positive impact to employment for the local community.
It is noted that apart from positive such growth could also have negative effects. Economic
losses have been observed in several cases and are mentioned in the bibliography, such may

36
include increased growth of the transient population with contribution to increased criminal
activities in the project area (e.g., robberies, drugs) or recreationists (e.g. fishing) avoiding the
area. It is envisaged however that in progressed societies like Cyprus both the social profile as
well as any control measures exerted can control and minimise the impact of such factors.
7.2 Investment - Capital inflows
In order to estimate the potential capital revenues that the Logistic Base could have through the
operational support of the drilling activities, an estimation of the potential reserves of the overall
exploration is prudent. Although the risk of not having a successful operation is always probable,
this estimation should not be considered at this stage as there are various factors that could
affect this probability.
Nevertheless, in the fortunate scenario where the exploration proves to be effective, there is a
high prospective that a significant revenue from the total capital will be absorbed within the
community of Larnaca. According to corporate data, the investment in Larnaca (local
subcontractors etc.) already reaches the amount of five and a half million dollars and it is
expected to grow as long as the operations in the logistic base continue to be active.
Moreover, the reputation upgrade could position Larnaca in the global list of cities associated
with the O&G offshore industry and this could produce very advantageous effects for the tourism
promotion of the city. Moreover, the municipality could benefit from increased health, education,
welfare, and social services from the presence of foreign high-caliber O&G professionals.
Overall international bibliography analysis shows significant estimates on both the immediate and
the total economic effects associated with increased Oil & Gas production, by using the
investment multipliers.
At this stage, it is not possible to replicate this methodology for Larnaca, for a series of reasons:
The Oil & Gas reserves of Cyprus cannot be estimated before the completion of the
offshore drillings.
The oil companies must complete exploratory drillings before compiling their natural gas
production plans for the coming decades. The same applies for the plans of the central
government of Cyprus
The volatility of energy prices in conjunction with difficulties in the estimation of gas
extracting cost in the Cypriot EEZ
However the envisaged hosting of the offshore support base in Larnaca signifies the placement
of the city Oil & Gas map and signifies interest in attracting Oil & Gas related investment and
O&G related personnel to the city.
In the case of Cyprus deepwater offshore Oil & Gas drilling well cost may lie in a range of 100-
150 mil USD per well. From this investment approximately thirty (30) million USD are estimated
to be associated with offshore logistics costs while 4 to 6 million USD (3 - 4.5mil Euro) are
expected to reach the local community per well. Such costs may vary, for instance, in the case of
Australia, in 2003 there were sixty offshore wells drilled at a total cost of five hundred million
(Aus.). In 2013, nineteen wells were drilled for a total cost of two and one half billion (Aus.) [5].
Such fluctuations apply even for the same country, therefore, cost per offshore oil well in
Australia ranged from ten to a hundred and twenty million dollars during the period 2003-2013.
Approximately, 10-15% of the offshore logistics costs are expected to directly benefit the local
community. In the case of Larnaca, up to ten wells have been scheduled, which could mean an
amount 40-60 million USD within a two year period directed toward the local communities, just
from the drilling-exploratory phase. This could be viewed as a significant contribution. In
comparison within the first half of 2014 Larnaca port has served around 20,000 passengers
which could have approximately contributed two (2) million Euro over this period.
There has been vast experience around the world of regions economically advanced by the
development of the hydrocarbon industry. It is anticipated that in more developed countries
benefits are augmented with risks better managed. Projected cash inflows will be considerable,

37
especially if Larnaca is to lead on a future full exploitation phase, and planning should be present
prior to the commission of the exploitation phase. Such planning is needed as there have been
cases where hydrocarbon wages inequalities have exerted pressure to lower income citizens
through demand growth and inflation.
7.3 Real Estate – Asset Values
Inevitably the association of the Larnaca area with the Oil & Gas sector could have significant
impact on real estate values. This impact will vary on the basis of a number of factors as
presented below.
The projected capital inflows and direct investment that will derive from oil & gas
exploration, this being directly associated with the resources under exploitation and the
magnitude of operations.
The attraction of high caliber oil & Gas employees in the Larnaca area
Market expectations which could derive from both comparison with other examples of
oil cluster cities but also speculative activity
Attracting of financing based on the potential of Oil & gas activity
Evidently any positive drives cannot be free of risks. Such risks are mainly associated with the
booming effect experienced in other parts of the world. It is not uncommon high expectation Oil
& Gas exploration to lead to a real estate bubble. In the case of more developed economies
however, such risk seems to be fairly limited with the need for careful planning and monitoring
of the market required in order to maximise benefits and manage risks. Figures illustrated below
indicate this unexpected increase in real estate prices in less developed cities like Luanda, Angola
and N’Djammena, Chad.
Figure 7.1 i: Comparative indicative costs of renting apartments in well known cities [6]

38
Such planning could foresee the establishment of Larnaca as an Oil & Gas cluster. By definition,
clusters are defined as ‘groups of companies and institutions co-located in a specific geographic
region and linked by interdependencies in providing a related group of products and/or services’.
They are a natural indicator of the specialized knowledge, skills, infrastructure and supporting
industries in enhancing productivity as the key determinant of sustaining high levels of prosperity
in a location [
7].
Such an initiative will off course depend on the success and the timeline for the oil & gas
exploitation phase but should be initiated as early as possible. The airport as well as the proximity
of other Cyprus main cities could constitute the main arguments of Larnaca in such an effort
while on the other hand the establishment of Limassol as a marine and other business center as
well as the presence in Nicosia of the Cyprus administration are potential drawbacks.
As Larnaca is already a developed town, this clustering effect will be an advancement of the city
as clusters can create economic and touristic benefits. Clustering enables higher productivity,
close interaction with customers, other companies, and knowledge-intensive service providers.
This could create a very prosper environment for the development of Larnaca both in an
economic but also in an educational level.
7.4 Traffic Disturbance
Traffic disturbance due to the operation of the logistic base is an issue that could potentially
affect the standard mobility within the town of Larnaca. This could affect tourism and other
activities especially in the summer months. After a detailed review of projected logistics in flows
and out flows form the port the following figures have been indicated.
No of passages /week No of trucks / passage No of trucks / week
2 5 102
Comparatively and in an accumulative manner, the overall impact of the transportation activities
due to the Logistics base does not cause significant concern and this may also apply if this
operations is magnified by a factor of two or even three. It is noted however that if operations
are to be planned for the full exploration phase then a more detailed study taking into account
any lessons learned from exploration should be performed.
2
It is expected that the no of trucks per week will not exceed 10 trucks.

39
Additionally, with the presence of Larnaca’s airport closely to the port, the offshore personnel
will be transported with helicopters to and from the drilling ship. Unlike the case in Limassol, this
will be of great convenience as it limits the overall transportation time of the staff in an effective
way and with no significance supplementary traffic disturbance while there will be no need for a
designated helicopter landing area within the city limits.
7.5 Visual impact
During the operation of the Logistics Base in the port of Larnaca, certain infrastructure will be
developed to accommodate and ensure the safety of the planned procedures. The chemical
storage as well as the liquid mud plant will be in the form of warehouses thus the visual impact
will not vary significantly in comparison to the visual impact currently in port. Silos that will be
used for storage of mud or mud components reach 10 m in height and can be visible from areas
around the port. This has a significant negative visual impact as it offers an industrialised sense of
the area in proximity of the touristic center of Larnaca. It is noted however that such impact is
limited in comparison with the Oil storage area in proximity of the port of edible oil tanks just
outside the port limits and in close proximity of the liquid mud plant.
In order to minimise the impact on the visual perception of the port it is suggested that liquid
mud plants within this area to be limited to the minimum required which translates to one or
two mudplants maximum, kindly also refer to recommendations.
Moreover, related activities from the O&G at the port of Larnaca such as the berthing of the
supply boats and handling operations from ships with the exploration equipment is not
considered to be an unsettling factor as it falls within the customary operations of a commercial
port.
Other mitigation measures for the visual impact could comprise height limitations in installations
or visual covering with natural or architectural structures, noting that this has to a certain extent
being applied in the current base.
7.6 Tourism – Urban Planning, Master Plan
Despite recent years downturn mainly attributed to the financial crisis the tourism growth
potential for Larnaca area remains strong for a number of reasons. In this context analysing how
the Larnaca tourism profile could be affected by the oil & gas exploration activities seems
essential.
The current size of the tourism sector at 150,000 thousand of hotel arrivals, the geographical
location of Larnaca, the extrovert nature of tourism as a financial sector along with the
projections for real estate development and planning in the Port through the initiative of ZENON
consortium constitute strong points for years to come. Given however the current state of
touristic infrastructure and apart from any public investment, additional private investment in the
area seems critical in achieving sustainable growth and this should not necessarily be limited to
the ZENON consortium initiative.
In this sense attracting Oil & Gas activity in terms of exploration and exploitation and above all
establishing Larnaca as an oil & gas cluster could result in a number of benefits for the tourism
sector in the region. In order to achieve this however it is essential that oil and gas operations
remain as distinct as possible and alleviate any impact to the touristic operations in the city and
the area. If this prerequisite is attained then a number of synergies could be developed between
the two sectors.
It is noted that distinction between touristic areas and the logistics base operations will not be a
straightforward process since a number of touristic and recreational areas are situated in
proximity of the port, city center including main attractions like Saint Lazaros church, Foinikoudes
beach, marina and the night life center.
The points referring to the minimization of any oil and gas exploration have been covered in
previous sections but are once again mentioned here to provide a holistic concept.

40
Traffic, Visual impact, noise and other disturbances. Envisaged operations in conjunction
with mitigation measures already applied and proposed in this this study seem sufficient
in alleviating this factor to an acceptable level.
Air, water, soil quality and pollution Envisaged operations in conjunction with mitigation
measures already applied and proposed in this this study seem sufficient. Attention is
especially drawn on control and monitoring measures to ensure that no deviation will
ever occur.
Safety aspects Envisaged operations in conjunction with mitigation measures already
applied and proposed in this this study seem sufficient. In the case of a quantitative risk
analysis is undertaken the touristic areas in proximity should be especially accounted.
Distance from the offshore operations. All fields associated with this exploratory phase
are situated at such a distance that will not affect the perception of Larnaca as a touristic
destination. Platforms and drillships are expected not to be visible under all conditions
Cumulative impact and further development of Oil & Gas operations. It is anticipated
that when the parameters for oil & gas exploration are clarified detailed planning will be
undertaken in order to estimate accurately the impact of full scale operations. In any
case it is advisable that full scale operations will be considered on the basis of the future
use of the port of Vasilikos and installations in its proximity.
Other port and cruise operations. It is anticipated that the volume of port operations will
not affect other port activities like cruise. In any case close cooperation with the port
authorities is advised to further minimise any prospective disturbance.
ZENON initiative. During the public consultation process the views and planning of the
ZENON consortium has been made apparent. It seems that projected works could be
affected by the use of the port in two main manners. Visual and other disturbance in the
port area. Physical obstruction of building works due to the presence of the present
logistics base in the South quay. As far as disturbance is concerned mitigation measures
as aforementioned could alleviate any impact noting that the visual impact of the oil
storage installations in proximity seems much more significant.
As far as building obstruction is concerned a solution could be worked out on a timeline
agreement. Current operators’ exploration campaign is due for completion on the verge of any
projection for the beginning of building works. In this sense an agreement for decommissioning
relocation of subject base prior to the initiation of the second, exploitation phase could be
considered.
From a strictly touristic view, concentration of all oil & gas offshore support operations in the
North quay would seem more appropriate and can attain the consensus of the ZENON
Consortium according to discussion that took place with ZENON Consortium representatives.
Such a prospect however should be considered in conjunction with all other parameters as health
and safety, environmental impact etc.
In case as mentioned, disturbance factors are mitigated then a number of opportunities could be
exploited due to the presence of the Oil & Gas industry in the city. Such could be
Increase in arrivals and better occupancy rates throughout the year through companies
executives , subcontractors, tenderers and other indirectly related personnel to the
specific sector
Inclusion of Larnaca in the map of oil & gas industry with immediate positive results in
terms of exposure and branding of the city
Easing of financing on the basis of the area and the city potential driven by Oil & Gas
exploration
Tourism associated with conferences and forums. It is estimated that Larnaca if identified
as an oil & gas cluster city could attract conference tourism within the Eastern
Mediterranean basin. Political stability, the presence of the airport and the emerging Oil
& gas sector in the area are strongpoints but close cooperation with the oil companies
will be required in this case.

41
Attraction of additional private investment directly or indirectly related to oil & Gas
exploration
Enhancement of the services sector induced by the presence of the Oil & Gas cluster.
As far as tour operators’ views are concerned it is anticipated that a change in the perception on
Larnaca may cause concerns but negative results will mainly occur if disturbance is tangibly
associated with Oil & Gas operations. As far as this is kept to minimum, positive factors could
even enhance the perception of Larnaca.
It is important to note herewith that projections on the city development and disturbance prior to
the finalization of the exploration phase seems uncertain. An accurate assessment of these
factors will require knowledge about the exploitation phase magnitude as well as a detailed view
on the oil companies investment timelines. The critical parameters for the methodology of such a
study would be volume and frequency of operations.
It is underlined that there have been a number of examples where the Oil & gas industry yielded
successfully with the tourism sector, experience shows that developed economies managed to
exercice the necessary controls and benefit from synergies. Similar precedent success stories
include Malta, Haifa, Port Fouchon Louisiana, Abu Dhabi, Aberdeen and constitute evidence of
this argument.
Area Larnaca Malta Haifa Aberdeen Abu-Dhabi
Tourist arrivals
2013
155.000 1.582.000 75.000 1.620.000 2.800.00
Refers to 2011figures for Aberdeenshire www.visitscotland.org
Sources
http://www.cbs.gov.il/reader/hotel/hot_nosim_new_eng.htmll
http://gulfbusiness.com/2014/01/abu-dhabi-hotels-report-record-2013
Malta Tourism Authority
Table7.6a: Tourist arrivals

42
8. Comparative analysis for specific aspects related to the
Logistics Base operations
8.1 Daily traffic increase versus the arrival of one cruise ships
For comparison purposes the case of a typical cruise ship arriving in the port of Larnaca has been
examined. Assumingly, there will be about three and a half thousands visitors of whom more
than half will be using buses (50 passengers on average per bus) and one third will use taxis (2
passengers on average per taxi) for their transportation, which is roughly translated to 50 bus
departures and 550 taxi departures.
Additionally, during normal operation of the port, taking into consideration that on average the
volume of imported animal feed on a daily basis is approximately 1180 tons and the capacity of a
truck to carry animal feed is 20 tons per truck, the equivalent traffic due to this activity equals to
58 trucks.
Daily traffic increase versus the traffic generated from the arrival of one cruise ship Number of
trucks
Logistics base 2
Transportation of animal feed 58
One cruise ship (4 taxi vehicles converted to 1 truck equivalent) 300
Table 8.1a: Comparison of daily trucks transportation during port operations
8.2 Offshore operations explosives versus LPG use and hunting ammunition
It is noted that the company envisages the use of twenty-five (25kg) kilos of explosives per well,
only for the case of emergency (i.e. it can be used for the next wells if not utilized), which will be
transported by one truck at the beginning of operations. During the full campaign it will remain
on the drillship.
Comparatively, the chemical energy of the following typical items that are commonly used
domestically or in urban transportation operations is:
Liquefied Petroleum Gas (LPG- Butane or Propane)
Threat Description LPG Mass/Volume
3
Fireball
Diameter
4
Safe
Distance
5
Small LPG Tank 9 kg/ 19 l 12m 48m
Large LPG Tank 45 kg/ 95 l 21m 84m
Commercial/Residential LPG Tank
907 kg/ 1,893 l 56m 224m
3
Based on the maximum amount of material that could reasonably fit into a container or vehicle. Variations possible.
4
Assuming efficient mixing of the flammable gas with ambient air.
5
Determined by U.S. firefighting practices wherein safe distances are approximately 4 times the flame height. Note that an
LPG tank filled with high explosives would require a significantly greater standoff distance than if it were filled with LPG.

43
Small LPG Truck
3,630 kg/
7,570 l
89m 356m
Semitanker LPG
18,144 kg/
37,850 l 152m 608m
Table 8.2 a: Equivalent quantities of LPG tanks commonly used
Comparative components Energy in MJ
6
Typical LPG cylinder (50L) 1.300
1 bullet .303 British SP (Hunting ammo) 3.5 x 10
-3
Table 8.2b: Comparison of typical LPG bottle with hunting ammo [8]
The acceptable amounts of quantities that can be transported are clearly stated in the European
Agreement concerning the International Carriage of dangerous goods by road (ADR). In
Appendix No.4 an indicative table of maximum total quantity per transportation unit is presented
in relevance to the classification of the materials used. Further reference needed, the ADR
agreement is publically available for additional details [16].
It should be noted that the transportation of the explosives is scheduled to be escorted by the
police at all times and the trucks will be driven by specially authorized personnel (licensed ADR
drivers). Additionally, in view of the above it should be noted that:
adherence to internationally established processes is ensured,
coordination with the various government entities – Mines, CPA/Airport, Customs, police
is planned for constant surveillance of the transportation process
the overall amount of time explosives will spend in-transit through Larnaca and at the
port is minimal
there will be use of purpose-built explosives that are transported with detonators
isolated from secondary high explosives. They are transported unassembled which
means they are not in a position to be initiated.
8.3 Materials transportation per well versus typical port cargo flows
The below quantities are shown per well. Materials arrive to the base by commercial vessels and
leave to the rig via PSV’s (Platform Supply Vessels). Most of the materials either remain in the well
or are recycled in succeeding wells.
Mud components per well (tot. 3500 tons)
Barite: 1,200 tons
Bentonite: 55 tons
CaCl2: 1185 tons
Salt (sodium chloride): 350 tons
Base oil: 693 m3
6
The "kg of TNT" is a unit of energy equal to 4184 Megajoules, which is approximately the amount of energy released in
the detonation of a kg of TNT, While energy density per volume unit of LPG (1 atm.) amounts to 26 MJ/L.

44
Cement components per well (Tot. 515 tons)
Barite: 55 tons
Cement: 435 tons
Salt, brines: 10 tons
Other products for various purposes: 40 tons
Piping , per well in m :
36” : 100 m (8 joints)
20” : 900 m (75 joints)
13 5/8” : 1,812 m (150 joints)
11 ¾” : 640 m (55 joints)
9 7/8” : 1,590 m (135 joints)
Barite
34%
Bentonite
2%
CaCl2
34%
Salt (sodium
chloride)
10%
Base oil
20%
Mud components per well
(total 3500 tons)

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