GAS NATURAL FENOSA signed a supply contract today in Baku through which the Spanish company will receive 1 bcm per year of natural gas from the Shah Deniz consortium, delivered in Italy. This supply, expected to start as early as 2019, will last 25 years and will reinforce the expansion of GAS NATURAL FENOSA in the gas sales and marketing business in Italy.

The gas will come from the Shah Deniz stage 2 development in Azerbaijan and will be carried through pipelines that will run through Georgia, Turkey, Greece and Albania and will reach Italy via an underwater section crossing the Adriatic Sea.

The agreement is subject to the final investment decision of the project, which is expected to be taken towards the end of 2013.

With this new agreement, GAS NATURAL FENOSA will reinforce the gase sales and marketing business in Italy and will diversify and enhance the supply structure for its expansion in Europe. The company has over 400,000 customers in Italy and a distribution network of over 6,900 kilometres.

The Southern Corridor of gas to Europe

Shah Deniz II, operated by BP is one of the largest gas developments worldwide. Gas from Shah Deniz II will open a new energy supply route, named the Southern Corridor, which will allow Europe to have access to gas reserves in the Caspian Sea region.

The Southern Corridor is one of the cornerstones of the European Union’s policy to increase energy security of supply to the continent.

GAS NATURAL FENOSA, along with other major natural gas operators in Europe, will take advantage of this new gas supply route to diversify and reinforce its portfolio of supplies.

About GAS NATURAL FENOSA
GAS NATURAL FENOSA is one of the leading multinational companies in the gas and electricity sector. It operates in over 25 countries and has more than 20 million customers and an installed capacity of 15.8 gigawatts. It is the largest integrated gas and electricity company in Spain and Latin America, the leader in natural gas marketing and sales in the Iberian Peninsula and the number one natural gas distributor in Latin America. With a fleet of nine methane tankers, it is a benchmark operator of LNG/NG in the Atlantic and Mediterranean basins, where it operates 30 bcm.