Naturgy Energy S A : Gas agreement between Naturgy and Sonatrach

Gas agreement between Naturgy and Sonatrach

• The agreement reached demonstrates Sonatrach's and Naturgy's willingness to consolidate their long-term partnerships started decades ago.

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In the context of the President of the Spanish Government's institutional visit to Algeria, the Executive Chairman of Naturgy, Francisco Reynés, and the Chairman and CEO of Sonatrach, Toufik Hakkar, today met in Algiers, following the signing of the amendments to the gas sales contracts between the two companies.

The signing of these amendments strengthens the partnership of Naturgy and Sonatrach, whose commercial relationship dates from the 1970s and who are also the two shareholders of the company Medgaz which operates the gas pipeline connecting Algeria to Spain, respectively at 49% and 51%.

This meeting was an opportunity for the two officials to discuss other possibilities for future cooperation between the two companies and on the best ways to expand their commercial relations.

The Chairman and CEO of Sonatrach, Toufik Hakkar, declared: 'The oil and gas industry has been strongly impacted by the COVID 19 pandemic. Sonatrach is overcoming, in close collaboration with its customers, the effects of this pandemic on commercial activities. The agreement reached by Sonatrach and Naturgy reflects the strategic nature of the long-term and trusting relationship that binds them and through which they aim to consolidate their position in the Spanish market.'

The Executive Chairman of Naturgy, Francisco Reynés, declared: 'This agreement demonstrates the will of Sonatrach and Naturgy to continue their long-term partnership, started decades ago. This strategic alliance is key for the supply of competitive and safe gas to the Spanish market, and therefore key for the economic and social development of both countries.'


Scope and topic:International, Corporate, Financial, Gas Business

Madrid, 8th October 2020