Morocco Seeks Spanish Help to Secure Gas Supply Amid Pipeline Uncertainty

Fearing a gas disruption due to the non-renewal of the GME, Morocco, which received 7% of the gas transiting through its territory as a toll, has asked Spain to carry out reversible pipes to be able to receive gas from Spain, reports El Pais. This gas reflux would be processed by the gas system operator, Enagás, but would require prior investment by the latter, the amount of which would depend on the volume to be transported and the setting of a toll.

To read: Algeria’s Gas Pipeline Decision Sparks Concerns for Spain and Morocco’s Energy Future

According to some industry sources, the Spanish government will not accept this request from Morocco. For other sources, Pedro Sánchez could accede to this request to avoid any tension with Morocco. But the difficulty would lie in the fact of liquefying the gas in the country of origin and regasifying it in Spain before passing it through the pipes, which would be expensive, especially since global demand and the price of liquefied natural gas are increasing.

To read: Algeria Boosts Gas Supply to Spain with Medgaz Pipeline Expansion

Algeria has waived the renewal of the concession contract for the Maghreb-Europe gas pipeline crossing Morocco to supply Spain, after having broken off diplomatic relations with Morocco on August 24. It will continue to supply Spain with gas via the Medgaz, whose capacity will increase from 8 to 10 Gm3, by the end of the year.