Algeria-Spain-UAE: Spain’s Naturgy Company Backfires against Algerian Regime

The reported Algerian threats to stop delivering natural gas to Spain’s Naturgy if the utility company sells shares to another company show the real face of the Algerian regime controlled by rogue Generals.

Naturgy consortium holds a 49 pc stake in Medgaz pipeline which transports gas from Algeria to Spain, while state-owned Sonatrach of Algeria maintains a 51 pc stake.

Last month, press reports said UAE Taqa group has engaged talks with the Naturgy’s three largest shareholders with a view to purchasing their stakes. Sensing that the transaction is advancing, the feckless Algerian regime is getting extremely nervous of losing control.
Irked by the strong emirati financial and political support to Morocco, the ruling junta in Algeria will use all their dirty tricks to undermine the deal, risking serious international consequences.

The Algerian rulers will likely resort to blackmail and use gas deliveries as a weapon for political gains. The Algerian gerontocratic regime has already used this strategy against Madrid in a bid to force it reverse its support for the Moroccanness of the Sahara but failed.

According to experts, Algeria cannot afford currently to get embroiled into a corporate and commercial dispute with the largest natural gas firm in Spain, while the country has already strained relations with all Arab, African and European neighbors.

Naturgy has affirmed that the contracts concluded with Algeria (to expire in 2030/31) do not include any clauses related to changes in the shareholding of either party.

The Spanish company also said that such shareholder changes have occurred in the past and have had no impact on the contracts, dealing a hard blow to the corrupt and oppressive Algerian Generals who are seeking only survival and maintaining a strong grip on power, irrespective of the immense and ruinous long-term damage they are inflicting on their country.