Norsk Hydro, Wingas create gas marketing JV

By OGJ editors
HOUSTON, Dec. 12 -- The Norwegian Norsk Hydro ASA and the German gas transportation company, Wingas GMBH, set up a 50:50 joint venture to market natural gas in the UK.

Subject to EU Competition Authority approval, HydroWingas Ltd.plans to start business activities in the spring of 2004.

The company, which will be based in Twickenham outside London, plans to sell gas directly to industrial end customers and redistributors. HydroWingas will purchase its gas from third parties or from producers.

Since UK gas production is decreasing, the country will become increasingly dependent on imports over the coming years.

"Both Hydro and Wingas wish to establish a UK presence. Joining forces also means cost effectiveness and complementarity in competence and experience," said Hilde Myrberg, Norsk Hydro senior vice-president.