Medgaz pipeline delayed until June 2010

The launch of the 8 billion cu m/year Medgaz gas pipeline from Algeria to southern Spain has once again been delayed, this time until June 2010, according to a spokesman for the Medgaz consortium.

Eric Watkins
OGJ Oil Diplomacy Editor

LOS ANGELES, Nov. 12 -- The launch of the 8 billion cu m/year Medgaz gas pipeline from Algeria to southern Spain has once again been delayed, this time until June 2010, according to a spokesman for the Medgaz consortium.

The spokesman gave no reason for the reschedule. The pipeline initially had been scheduled for start-up in this year’s first half and later was delayed until yearend.

In September, Nabila Metref-Benzine, exports director for natural gas and LNG at Algeria’s state-owned Sonatrach, told a gas conference in Amsterdam that the expected start-up date was “between December 2009 and March 2010.”

Earlier, in March, it was reported that Sonatrach is constructing two major gas pipelines to Europe, each with a capacity of 8 billion cu m/year. Medgaz and Galsi were then expected to be completed by yearend and in 2012 respectively (OGJ, Mar. 9, 2009, Newsletter).

Medgaz is owned by a consortium of Sonatrach 36%, GDF Suez 12%, Cepsa 20%, Iberdrola 20%, and Endesa 12%.

Contact Eric Watkins at hippalus@yahoo.com.

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