[10]P1 The Maghreb– Europe Pipeline: Another Step Towards a Mediterranean Gas Ring

[10]P1 The Maghreb– Europe Pipeline: Another Step Towards a Mediterranean Gas Ring

The demand of natural gas in Europe is increasing steadily, thus North African countries, and Middle East producers in a longer term, represent an excellent opportunity to fulfil1 the increasing gap between European demand and indigenous production.Important reasons, other than commercial ones, support the development of gas trade in the Mediterranean Basin. The European Union has a firm commitment to promote the economic prosperity and hence contribute to the political stability in the region.The construction of pipelines linking producers and markets appears to be a powerful instrument of a long term economic cooperation among all countries in the area.The idea of a Mediterranean Gas Ring is gaining support among the gas companies located around the Mediterranean Sea.If the Transmed pipeline was the first link of this gas ring, the Maghreb-Europe pipeline (GME) is the Western section of this mega project, connecting the Hassi RMel Algerian fields with the Iberian Peninsula through Morocco and the Straits of Gibraltar.This pipeline, operative from October 1996, has been conceived to transport more than 20 Tm3 gas per year.Nevertheless, apart from its function as a gas transporter, it has contributed to the objective of establishing firmer economic relationships among the countries involved and has contributed to the conciliation of diverse political interests.The poster presentation covers the following issues:–a detailed description of the pipeline

physical characteristics, cost and finance, markets supplied, etc.

–an overall description of the contractual agreements between the interested parties

the way the pipeline–some implications of the project apart from gas supply

economic and social cohesion of the area.operates It is generally accepted nowadays that natural gas is the transition energy to the twenty-first century.World-wide consumption amounted to 2.200 billion cubic metres in 1995, what represented 23 per cent of the world energy demand. The natural gas market in the European Union is expected to exceed 430 billion cubic metres in the year 2010 from 300 billion in 1995.To attend the growing demand in Europe, gas companies should have to look for gas from more remote gas fields since local gas production will not be sufficient to cover the additional demand and even will start to decrease in the next decade. This fact confirms that the European Union offers a great market opportunity for gas exporting countries, provided that the gas infrastructure exists to deliver this fuel in the market at a competitive price.Some Northern- African countries are perfectly suited to take advantage of this opportunity due to their location and their production/consumption ratios.It is in this context

1997-10-12

Flos, A.

Moraleda, P.

conferencePaper

SIT79T52