Agreement for the development of BarMar hydrogen infrastructure

Madrid, June 25th 2024

The three developing partners of the BarMar project, which will connect Spain and France by a maritime hydrogen pipeline (Barcelona – Marseille): Enagás (transmission system operator from Spain), GRTgaz and Teréga (transmission system operators from France), in coordination with the associated partner OGE (transmission system operator from Germany), have signed today in Madrid a Joint Development Agreement (JDA) defining the conditions under which the parties agree to collaborate on the participation of the BarMar project in its Development phase.

The JDA provides specifically the conditions for the Parties to jointly develop the necessary feasibility studies concerning BarMar and sets out the preliminary minimal conditions for the Final Investment Decision, as well as the main principles for the establishment of the Special Project Vehicle (SPV) and the definition of its governance. According to the terms of the agreement, and pending the closing of the FID, Enagás will contribute 50% of the shareholding, GRTgaz 33,3% and Teréga 16,7%, representing identical percentages in the Spanish and French parts of the project BarMar: 50% each.

Regarding the interconnection of renewable hydrogen between Portugal and Spain (Celorico da Beira – Zamora), CelZa, Enagás and REN have also signed a side letter to the Memorandum of Understanding that both parties have already in force, to jointly develop and finance the corresponding studies.

The H2med project is a transnational effort to connect the hydrogen networks of the Iberian Peninsula to those of France, Germany and the whole of North-West Europe. It also aims to bring benefits in terms of hydrogen supply and demand by connecting the various Iberian and French industrial basins.

Its goal is to enable Europe to be supplied with affordable, renewable hydrogen by 2030. The project was launched in October 2022 by the President of the Government of Spain, the President of France, and the Prime Minister of Portugal. These leaders reaffirmed their commitment at the Euromed Summit on December 9th, 2022, in Alicante, with support of the President of the European Commission. In January 2023, Germany decided to lend its support and join Spain, France and Portugal for this hydrogen corridor, seeing it is an interesting vector for its own market and for supplying other potential markets. H2med is led by the Transmission System Operators (TSOs) from Enagás, GRTgaz, REN, Teréga, and OGE, which joined the project in October 2023.

On November 28th, 2023, the European Commission selected H2med for inclusion into the list of Projects of Common Interest (PCI). This list was officially published in the Official Journal of the European Union on April 8th, 2024, in recognition of CelZa and BarMar significant contribution at EU level to sustainability, market integration, security of supply and competitiveness.

More information on H2med website project https://h2medproject.com/

About the companies involved:

Enagás is a Transmission System Operator (TSO) with 50 years’ experience in the development, operation and maintenance of energy infrastructure. It has more than 12,000 kilometres of gas pipelines, three underground storage facilities and eight regasification plants. The company operates in eight countries. In Spain it is the Technical Manager of the Gas System and, according to the Royal Decree-Law 8/2023, Enagás may operate as provisional Hydrogen Transmission Network Operator (HTNO). In line with its commitment to energy transition, Enagás has announced its goal of becoming carbon neutral by 2040, with a firm commitment to decarbonisation and the promotion of renewable gases, especially hydrogen. Find out more at: https://www.enagas.es/en/ Press contact: Jorge Álvarez;
dircom@enagas.es; (+34) 630 384 930.

GRTgaz is France’s primary gas transmission system operator and the second biggest in Europe. The Group has two subsidiaries: Elengy – the European leader in LNG terminals, and GRTgaz Deutschland, which operates the MEGAL network. In line with its mission statement – “Together, we enable an energy future that is safe, affordable and climate neutral” – GRTgaz has a public service mission, ensuring the safety of gas transmission for its 865 clients (biomethane producers, shippers, industrial companies, electricity power plants and distributors). GRTgaz is committed to achieving net zero and is adapting its network to new ecological and digital challenges; it supports the development of low-carbon hydrogen and renewable gas sectors (biomethane and gas from solid and liquid waste). It also transports waste CO2 for the purposes of decarbonising the industrial sector. Key figures: 32,600 km of pipes, 625 TWh of gas transported, 3300 employees, €2.1 billion in turnover generated in 2023 (€2.6 billion at Group level).
Find out more at: https://www.grtgaz.com/, X, LinkedIn, Instagram.
Press contact: Chafia Baci – chafia.baci@grtgaz.com – +33 6 40 48 54 40

OGE is one of Europe’s leading transmission system operators. With our approximately 12,000 kilometres of pipeline network, we transport gas throughout Germany and, due to our geographical location, we are the link for gas flows in the European single market. Our approximately 2,000 employees of the OGE group stand for security of supply. We make our network available to all market participants on a non-discriminatory, market-oriented and transparent basis. We make energy flow. For more information about the company, please visit www.oge.net.
Press contact: Kristian Peters-Lach, kristian.peters-lach@oge.net ; T +49 201 3642–12622

REN – Gasodutos, S.A. is the Portuguese gas TSO and part of REN – Redes Energéticas Nacionais, SGPS, S.A., a group of companies that integrates the Portuguese electricity TSO, as well as other gas activities concessions in Portugal such as, the Sines LNG Terminal, the underground storage and one gas distribution company. Besides its operation in Portugal, REN also has gas and electric grid assets in Chile and a share in the Cahora Bassa power plant in Mozambique. REN – Gasodutos, S.A. is responsible for the planning, design, construction, operation and maintenance of more than 1,300 km of high-pressure pipelines in Portugal and for the national gas system technical management.
Find us at https://www.ren.pt/
Press contact: Paulo Camacho; paulo.camacho@ren.pt ; (+351) 929 029 187

Teréga – Established in South-West France, at the crossroads between major European gas flows, has exercised exceptional expertise for over 75 years in the development of gas transport and storage infrastructures. Today, it continues to develop innovative solutions to take on the major energy challenges facing France and Europe. Teréga operates over 5,094km of pipelines and 2 underground storage reservoirs representing 15,6% of the French gas transport grid and 22,5% of national storage capacity. The company achieved a turnover of 494 million euros in 2023 (congestion balancing excluded) and employs about 646 people. Corporate social responsibility is at the heart of Teréga’s strategy, as it embarks on the energy transition to carbon neutrality. Teréga has rolled out programmes in all areas of ESG (Environmental, Social and Governance): its employee safety and its infrastructure security via the PARI 2025 programme, sustainable development of territories and social responsibility via the ENERGIZ MOUV programme, support of philanthropic projects by the Teréga Accélérateur d’Énergies endowment fund, and reduction of environmental impacts via the BE POSITIF programme with a commitment to a 30% reduction in greenhouse gas emissions by 2030 compared to 2021 on all scopes 1, 2 and 3.
Teréga’s shareholders are SNAM (40,5%), GIC (31,5%), EDF Invest (18%), Predica (9%) and Crédit
Agricole Assurances Retraite (1%).
Find us at https://www.terega.fr / and on Twitter and LinkedIn.
Press contact: Céline Dallest: celine.dallest@terega.fr (+33)6 38 89 11 07