Maghreb Gas Pipeline

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The 1,403-km pipeline stretches from the Hassi R'Mel natural gas fields in Algeria through Morocco (563-km), across the Strait of Gilbraltar (45-km), before continuing to a distribution point in Cordoba, Spain (795-km), and then connecting to distribution networks in Spain and Portugal. The Morroco section may be used to fuel prospective IPPs in Kenitra and Mohemmedia. The government of Algeria pays the government of Morocco for transit rights with a probable guarantee from the project sponsors. Before being bought out by Gas Natural, Enagas of Spain was the primary developer of the project (Enagas includes its 100%-owned Europe Maghreb Pipeline Ltd., having constructed the section in Europe, and its 70%-owned Metragaz, having built the Morocco section). The Algerian section is being developed by the stated-owned company Sonatrach. Al Andalus built the Strait of Gibraltar section. Other developers of the pipeline include EMPL of Spain and Bechtel. The World Bank is providing technical support and possible financial participation valued at $50 million. Construction of the project began on May 13, 1993 and it became operational in 1996. Total project costs information varies, with one estimate being $2,300 million. None None