Doris Leblond
OGJ correspondent
PARIS, Oct. 21 -- Gaz de France on Monday agreed to buy a 51% stake in Romanian gas distributor SC Distrigaz Sud AG for $388 million, as previously negotiated with Romanian officials (OGJ Online, Aug. 25, 2004).
The move bolsters GDF's position in central and eastern Europe. GDF initially will acquire a 30% stake, which later will be increased to 51%.
Distrigaz Sud operates a 13,400 km gas pipeline grid in southern Romania with gas sales of about 5.6 billion cu m (bcm)/year. The Romanian government will continue to hold the 49% interest in Distrigaz Sud.
Germany's Ruhrgaz AG, a subsiduary of E.On AG, has been chosen to acquire a 51% stake in SC Distrigaz Nord SA, another Romanian gas distribution company, for $383 million. Initially, Ruhrgaz will acquire a 30% stake, which later will increase to 51%.