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PORTUGAL


CAPITAL: Lisbon

MONETARY UNIT: Escudo

REFINING CAPACITY: 304,300 b/cd

OIL PRODUCTION: 0

OIL RESERVES: 0

GAS RESERVES: 0

The privatization of Portugal`s future energy holding company, incorporating GDP-Transgas and Petrogal, was due by 2000.

Economy Minister Joaquim Pina Moura said the new operator could establish a strategic partnership with a Spanish operator.

The energy holding company had been initially valued at 400-450 billion escudos ($2.4-2.65 billion).

The government said it would form a holding company that would control Petrogal and Gas de Portugal to build international alliances and prepare the sale of the holding company`s shares to the public.

The government decided to allow Transgas to build Portugal`s first LNG terminal in Sines. The terminal would cost about $263 million and feed the nation`s recently built natural gas grid.

Transgas was to buy 350 million cu m/year of Nigerian LNG, beginning in 1999 and lasting until 2021.

The shipments would go to Huelva in southern Spain until Portugal completed its own receiving terminal.

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