Page 6 - AfrOil Week 48 2021

AfrOil PIPELINES & TRANSPORT AfrOil

Eni to sell 49.9% stake in

TransMed pipeline to Snam

ALGERIA ITALY’S Eni has struck a deal with its former it is important to maintain the availability and
subsidiary Snam on the sale of a minority stake diversification of supply routes for this resource.”
in Trans Tunisian Pipeline Co. (TTPC) and Marco Alverà, the CEO of Snam, spoke sim-
Transmediterranean Pipeline Co. (TMPC), the ilarly. “This deal consolidates Snam’s central role
operators of the TransMed natural gas pipeline in Italy’s security of supply, as well as in energy
system that links Algeria to Italy. transport from the Mediterranean region,”
The company announced in a press release he stated. “Through this transaction, Snam
dated November 27 that it had signed an agree- is bridging its infrastructure towards North
ment with Snam on the sale of 49.9% stakes in Africa, which represents a key area for gas sup-
TMPC and TTPC. Under this agreement, it plies to Italy and forward-looking for hydrogen
explained, Eni is slated to transfer all of its hold- development. In the future, North Africa could
ings in the two pipelines to NewCo, a newly also become a hub for producing solar energy
incorporated Italian firm. NewCo will then be and green hydrogen.”
split 50.1% to Eni and 49.9% to Snam, it said. The TransMed pipeline system was built
“Eni and Snam will exercise joint control to pump Algerian gas to Italy and is capable of
over NewCo on the basis of equal governance handling around 30bn cubic metres per year. Its
principles, and both companies will there- first phase was commissioned in 1983, with an
fore consolidate NewCo through the equity initial capacity of 15 bcm per year, and its second
method,” it added. phase, which doubled throughput capacity to 30
The Italian major put the value of the deal at bcm per year, came on stream in 1994. ™
€385mn ($436.23mn). It also said its new part-
nership with Snam was designed to bolster the
security of gas supplies to Italy while establishing
a foundation for export-oriented green hydro-
gen projects in North Africa. This is in line with
the company’s wider efforts to focus on projects
related to the energy transition and to optimise
its asset portfolio, it commented.
Claudio Descalzi, Eni’s CEO, offered more
details on the agreement’s link to his company’s
energy transition strategy. “This transaction
allows us to free up new resources to be used
on our energy transition path, while at the same
time maintaining the management of a stra-
tegic infrastructure with Snam to ensure the
security of natural gas supply to the country,” he
said. “Gas will play a key role in the transition
of energy systems to zero-emission models, and The pipeline pumps Algerian gas to Italy via Tunisia (Photo: TransMed)

Sound Energy to fill GME pipeline with

gas from Morocco’s Tendrara project

MOROCCO UK-BASED Sound Energy has struck an agree- development work at Sound Energy’s Tendrara
ment with Morocco’s state-owned power utility production concession, the company reported
ONEE on the sale of natural gas from Tendrara, in a statement. It allows for annual contractual
a field in the eastern part of the country, accord- deliveries of up to 350mn cubic metres per year
ing to a statement by the firm. of gas from the Tendrara field over a period of
The deal marks the launch of Phase Two 10 years.

P6 www. NEWSBASE .com Week 48 01•December•2021