Gas-purchase agreements advance Galsi line

Nov. 20, 2006
New gas-purchase agreements by five Italian energy companies have given a push to plans for a third gas pipeline between North Africa and Europe.

By OGJ editors
LONDON, Nov. 20 -- New gas-purchase agreements by five Italian energy companies have given a push to plans for a third gas pipeline between North Africa and Europe.

The companies, Enel, Edison, Hera, Ascopiave, and Worldenergy, have agreed to import a total of 6 billion cu m/year of gas from Algeria via the proposed pipeline connecting Algeria with Italy by way of Sardinia.

Sonatrach of Algeria, Enel, and Wintershall of Germany formed a venture to study feasibility of the pipeline in December 2001 (OGJ, Jan. 7, 2002, Newsletter). Other companies have joined the venture, now called Galsi.

The project envisions four pipeline segments: 640 km onshore between Hassi R'mel gas field in Algeria and El Kala on the Algerian coast; 310 km between El Kala and Cagliari on Sardinia in water as deep as 1,950 m; 300 km between Cagliari and Olbia on the northern Sardinian coast; and 220 km between Olbia and Pescaia, southeast of Florence, in water as deep as 900 m.

Sonatrach says the Galsi pipeline will have a capacity of 8 billion cu m/year and projects start-up at the end of 2009.