Spain’s Energy Majors Deepen Longstanding Partnership with Sonatrach Ahead of Sánchez Visit
Spain’s leading energy companies—Naturgy, Repsol, Enagás and Moeve—maintain long-established partnerships with Algeria’s Sonatrach across natural gas, hydrocarbons and energy transition projects, underscoring the strategic importance of energy cooperation as Prime Minister Pedro Sánchez visits Algiers.
By Dr. Hana Saada
ALGIERS — Spain’s leading energy companies Naturgy, Repsol, Enagás and Moeve remain longstanding strategic partners of Algeria’s state-owned energy company Sonatrach, reflecting the central role of energy cooperation in relations between the two Mediterranean countries.
The companies are accompanying Spanish Prime Minister Pedro Sánchez during his official visit to Algeria, highlighting the importance both governments attach to strengthening economic and energy ties as bilateral relations continue to recover.
Energy cooperation between Algeria and Spain has remained uninterrupted despite previous diplomatic tensions, with Algerian natural gas exports continuing to flow through the Medgaz submarine pipeline, the only direct gas link between the two countries since the closure of the Maghreb-Europe Gas Pipeline (GME) in 2021.
The Medgaz pipeline’s transport capacity has since been expanded from 28 million to 32 million cubic metres per day, reflecting the growing strategic importance of the infrastructure for Spain’s energy security.
Long-term supply contracts between Sonatrach and its Spanish partners have ensured the continuity of gas deliveries, reinforcing Algeria’s position as Spain’s leading natural gas supplier.
According to Sonatrach, pricing adjustments introduced in recent years were implemented under the standard contractual mechanisms applied to all of the company’s international partners.
Among Spain’s principal energy companies, Naturgy remains one of Sonatrach’s oldest strategic partners, with the Algerian energy group holding an equity stake of approximately 4% in the Spanish utility.
Repsol continues to cooperate with Sonatrach on several upstream oil and gas exploration and production projects, particularly in Algeria’s Berkine Basin, one of the country’s most important hydrocarbon regions.
Meanwhile, Enagás is a co-owner of the Medgaz pipeline, the strategic subsea infrastructure that has become the backbone of Algerian gas exports to the Spanish market.
Moeve, the new corporate identity of Cepsa, is also seeking to expand its cooperation with Algeria in emerging energy sectors, including sustainable fuels, low-carbon molecules and green hydrogen.
The partnerships illustrate the evolution of Algerian-Spanish energy relations beyond conventional hydrocarbons towards broader cooperation in energy transition technologies and decarbonisation initiatives.
The companies’ participation in Sánchez’s visit underscores the strategic importance of Algeria as both a reliable energy supplier and an increasingly significant partner in Europe’s transition to cleaner energy sources.
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