Algeria will cancel its gas deliveries to Naturgy if the Spanish company’s shares are sold to another company, a Source familiar with the matter told Reuters.
The Source did not name the company that could buy Naturgy’s shares, but Abu Dhabi’s TAQA said last month it was in discussions with Naturgy’s three largest shareholders, which could lead to a possible offer. complete public procurement for the largest natural gas company in Spain.
Naturgy has a stake in a key gas pipeline between Spain and Algeria, as well as significant contracts with Algeria’s Sonatrach, which supplies gas to Spain via a pipeline. Naturgy has also entered into a long-term contract to import some 3 billion cubic meters of Russian liquefied natural gas each year.
Naturgy has signed “take or pay” supply contracts until 2032 with Algeria,” a company spokesperson told Reuters.
“Naturgy is not part of any negotiations over the shareholding of the company, as was made clear in the relevant facts published at the time.
A spokesperson for the Spanish energy ministry declined to comment.
TAQA said last month it was in talks with private equity firms CVC and GIP, which each own more than 20% of Naturgy, to buy out their stakes.
TAQA also said it was talking with Naturgy’s largest shareholder, Criteria, which holds a 26.7% stake, about a possible partnership deal.
Algeria was Spain’s top gas supplier in the first three months of the year, according to data from Spanish gas network operator Enagas. It represented around a third of total gas imports. Most of these supplies are transported by gas pipeline.
