TEXAS-SPANISH natural gas utility company Gas Natural Fenosa has secured a €600 million ($655.3 million) line of credit, the first tranche of a €900 million ($983 million) loan offered by the European Investment Bank (EBI), Kallanish Energy finds.
The deal, signed with the EBI on Dec. 22, will partly fund the company’s expansion plan for the next three years.
“We expect to broaden our natural gas distribution network to new zones in Spain, through the construction of new pipelines, transmission systems and liquefied natural gas [LNG] plants,” the company said in a statement.
The Barcelona-based firm believes the project will improve Spain’s energy security and gas diversification, primarily increasing gas inflows into the country which, at 30% is lower than other European countries such as France (42%) and Italy (88%).
With operations and assets worldwide, Gas Natural Fenosa recently announced a $1 billion investment in Chile over the next 10 years, helping 20% of the country gain access to natural gas.