Gaz de France (GDF) has signed a series of contracts extending and expanding its gas supply from Algeria.
The French company also will discuss with Algeria's Sonatrach an extension of the Maghreb-Europe gas pipeline under the Mediterranean to provide pipeline gas deliveries to France, supplementing supplies of liquefied natural gas.
An LNG contract with Sonatrach for 182 bcf/year that runs from 1976 to 2003 has been extended to 2013, while a 123 bcf/year contract from 1971 to 1998 has been extended to the same date.
A much smaller 17.6 bcf/year contract that started in 1962 will be extended until 2002.
GDF and Sonatrach also signed a new contract for volumes that will gradually reach 35.3 bcf/year during 10 years.
Starting date for this contract has not been established.
The two companies said they want to improve their long term relationship and will discuss cooperation based on the proposed Algerian gas pipeline under the Mediterranean to Europe through Morocco and Spain. GDF is part of a company conducting a feasibility study on the line from giant Hassi R'Mel gas field in the Sahara to Seville, Spain. Construction could begin in 1993, and the line could start up by 1995.
GDF and Sonatrach will discuss extending the line through Spain into France and making connections into the rest of the European transmission system.
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