France, Germany withdraw from Azeri gas project, Spain buys stake

PanARMENIAN.Net - Spain's Enagas has bought out two shareholders in a pipeline project to bring Azeri gas to Europe, the Trans Adriatic Gas Pipeline (TAP) said, joining an effort to reduce the region's dependence on Russian gas, Reuters reported.

TAP said in a statement on Tuesday, Sept 30, that Enagas, which operates Spain's natural gas grid as well as three liquefied natural gas terminals, had acquired a 16 percent stake from France's Total and Germany's E.ON.

Belgian gas transmission operator Fluxys also bought shares to increase its stake by three percentage points to 19 percent, TAP said.

BP, Azeri state energy company SOCAR and Norwegian Statoil all hold 20 percent stakes in TAP. Total and E.ON were smaller partners, holding 10 percent and 9 percent, respectively.

"The TAP joint venture has always been open to new strategic partners," Kjetil Tungland, TAP's managing director, said.

"Enagas ... will help to enhance TAP's strategic position as a truly European project that will transport a new source of gas to the continent's energy markets."

Azerbaijan aims to transport 16 billion cubic meters (bcm) of gas a year from its BP-led Shah Deniz II field in the Caspian Sea to Turkey and on to Europe by the end of the decade.