Eni SPA has agreed to sell its interests in companies related to the bidirectional Interconnector natural gas pipeline between the UK and Belgium to Fluxys G SA and Snam SPA for total consideration of €150 million.
The interests are 16.41% in Interconnector (UK) Ltd., operator of the pipeline; 51% in Interconnector Zeebrugge Terminal SCRL, owner of the Belgian compressor terminal at Zeebrugge; and 10% in Huberator SA, which offers trading-related services in the Zeebrugge Gas Hub.
The Italian company will retain its transportation contracts on the 235-km, 40-in. Interconnector system, which has capacities to carry 25.5 billion cu m/year from Zeebrugge to Bacton, UK, and 20 billion cu m/year in the opposite direction.
Eni said the transaction fits its strategy to shed noncore assets.
Fluxys G is Belgium’s independent gas transmission system operator. Snam, Milan, builds and operates gas systems.
Bob Tippee | Editor
Bob Tippee has been chief editor of Oil & Gas Journal since January 1999 and a member of the Journal staff since October 1977. Before joining the magazine, he worked as a reporter at the Tulsa World and served for four years as an officer in the US Air Force. A native of St. Louis, he holds a degree in journalism from the University of Tulsa.
