THE TIMES (UK): Spanish win $2bn project in Algeria: “Beating off competition from BP, Shell, Total and ENI, the Spanish won the $2 billion (£1.1 billion) tender for Gassi Touil, a 30-year project to produce gas from the Sahara and freeze it for export.” (ShellNews.net) 18 Nov 04

By Carl Mortished

November 18, 2004

REPSOL YPF and Gas Natural, the Spanish oil firm and its sister utility, have won control of a big gas development project in Algeria. Beating off competition from BP, Shell, Total and ENI, the Spanish won the $2 billion (£1.1 billion) tender for Gassi Touil, a 30-year project to produce gas from the Sahara and freeze it for export.

The two Spanish companies will build a liquefied natural gas plant capable of freezing 5 billion cubic metres (bcm) per year, enough gas to supply a fifth of the Spanish market. With a 30 per cent stake in Gas Natural, Repsol has a commanding position in the Spanish gas market, a natural destination for the Algerian gas. The North African state is a major gas exporter, supplying half the Spanish market. Currently shipping 62 bcm per year Algeria has ambitions to raise LNG exports to 85 bcm by 2010.