Algeria has said it will honor all its gas commitments with Spain, just days after the freezing of a two-decade-old treaty raised questions about the European nation’s energy supply.
The North African country also called on Spanish companies to meet their contractual obligations, according to a foreign ministry statement.
Algeria said on Wednesday it was suspending its freedom and co-operation pact with Spain over the European Union’s stance on Western Sahara, a former Spanish colony in Africa over which Morocco claims sovereignty. Algerian banks were then ordered to suspend payments between Algeria and Spain.
The move escalated a diplomatic crisis that erupted earlier this year, when Madrid overturned its long-standing policy of neutrality and backed Morocco’s plan for limited autonomy in Western Sahara, which has been largely under Rabat control since Spain left in the 1970s.
This helped end the Spain-Morocco conflict, but in turn angered Algeria, which supports a movement seeking independence for the disputed region.
Spain imports significant quantities of natural gas from Algeria and after Wednesday’s announcement it was not immediately clear whether these flows would be affected.
Spain’s Naturgy Energy Group SA said on Thursday it was “business as usual” with the Sonatrach Group, Algeria’s state-owned energy company.
Source: Capital
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