Gas: Sonatrach postpones to November the decision on Galsi

12 July, 13:26

(ANSAmed) - TUNIS, JULY 12 - Algerian state energy firm Sonatrach has decided to postpone to November the decision on whether it will abandon or develop the project to build the Galsi natural gas pipeline planned to connect Algeria to Italy through Sardinia, the president and director general of Sonatrach Abdelhamid Zerguine has announced.

Zerguine said investors including Sonatrach have so far ruled against the project which would deliver to Italy eight billion cubic metres of gas. Zerguine added that the decision to delay the project follows conflict on prices which the other partners want to impose on his group.

The contrasts reportedly verge on price index mechanisms based on the listing of oil prices which is not considered viable by the Algerian side. ''We think we must not invest if such investments are not guaranteed and protected', said Zerguine. Italian utilities Eni and Edison are partners in the Galsi consortium in which Sonatrach has a 41.6 percent share.



Business opportunities

The information system of business
opportunities abroad

News from Mediterranean