Open Season 2011 for long-term Gas Storage Bergermeer capacity continues according to schedule

This announcement follows a ruling on August 8, 2011 by the Netherlands Council of State suspending site preparation activities for Bergermeer Gas Storage until all appeals regarding the National Zoning Plan have been resolved. The final verdict of the Council of State is expected early 2012.

In 2011, as planned, Bergermeer Gas Storage intends to award up to 11.3 TWh of storage capacity to launching customers for periods of 4 to 10 years, beginning in 2014. An additional open season for longer-term storage capacity starting 2015 will be held in 2012.

The project partners TAQA and EBN are confident that the National Zoning Plan will be upheld in the final appeal decision by the Council of State.

Carl Sheldon, General Manager and Member of the Board of Directors, TAQA said: “Our long-term investment in Bergermeer underpins our ambition to become a major contributor to the establishment of the Northwest European gas hub in the Netherlands. Bergermeer is not only crucial to the future of the Dutch economy but also to securing energy supplies for the entire Northwest European region.”

Jan Dirk Bokhoven, Chief Executive Officer of EBN said: “The ambition of the Dutch State is to have the Netherlands serve as a gas hub for the international transport of natural gas and as a distribution centre for Northwest Europe. EBN’s partnership with TAQA in Bergermeer Gas Storage is a prime example of how we actively support this energy policy. Our investment in Bergermeer Gas Storage will create economic and strategic advantages which will benefit Dutch society as a whole.”

The project has been approved by a large majority in the Dutch Parliament earlier this year following extensive discussions supported by public hearings including multiple subject matter experts. The final approvals and permits to construct and operate Bergermeer Gas Storage were received from the Minister of Economic Affairs, Agriculture & Innovation, Minister of Infrastructure & Environment and other authorities in May 2011.

Bergermeer Gas Storage will provide the Northwest European gas market with 46 TWh of seasonal storage, thereby almost doubling the Netherlands’ total storage capacity. Sufficient natural gas storage capacity is required to guarantee security of supply and ensure the flexibility required for a properly functioning gas market.

The project is one of the Netherlands’ largest private infrastructure projects and will, as part of the gas hub, provide a long-term stimulus for the Dutch economy. The construction of Bergermeer Gas Storage will create 3,300 man-years of new work of which 2,650 will be in the Netherlands. At its peak, the project will directly employ 1,200 workers on site in the Alkmaar region in the Netherlands.

- ENDS



Contact:

TAQA Media Relations
Allan Virtanen
Group Corporate Communications Advisor
Tel.: +31 88 82 72 500
Mob.: +31 64 61 47 448
E-mail: allan.virtanen@taqaglobal.com
www.taqaglobal.com


Notes to editors:

About TAQA
Abu Dhabi National Energy Company (TAQA) is a global energy company majority owned by the Abu Dhabi Government and listed on the Abu Dhabi Securities Exchange. Our main activities include our oil and gas business, power generation and water desalination across four continents.
We are the sixth-largest independent power producer in the world and the majority owner of the facilities that provide 98% of the water and electricity requirements in the Emirate of Abu Dhabi. Our power plants are located in the United Arab Emirates, Morocco, Saudi Arabia, Ghana, India, and the United States.
With operations in the UK, the Netherlands, the United States and Canada, our oil and gas business includes exploration and production, gas storage and pipeline transportation.
In the Netherlands our established gas storage business includes operating the Alkmaar Peak Gas Installation (PGI). With our partner EBN, an independent company with the Dutch State as its sole shareholder, we are also developing the Bergermeer Gas Storage facility. This will make a major contribution to the security of gas supply to Northwest Europe, and provide a strong base for the Northwest European Gas Hub.
Our entrepreneurial culture, along with a commitment to people, safety and the environment, has created strong foundations for the long-term sustainable growth of our business.

About Bergermeer Gas Storage
The Bergermeer Gas Storage project will create Europe’s largest open access gas storage facility. Bergermeer will provide the Northwest European gas market with 46 TWh (4.1 BCM) of seasonal storage, thereby almost doubling the Netherlands’ total storage capacity and adding an alternative source of flexibility on the TTF.
The depleted Bergermeer reservoir has the ideal geological characteristics for gas storage and is in a strategically excellent location: well connected to the gas transport network, close to major cities and industrial centres and only 20 km from the BBL pipeline transporting gas between the Netherlands and the UK.
TAQA (operator) and EBN hold 60% and 40% stakes in the Bergermeer Gas Storage project respectively. The design and construction of the facility require a total investment of EUR 800 million and involves drilling 14 high capacity storage wells, building a gas treatment plant and laying almost 40 km of pipeline.
As part of the realisation of this project, an agreement with Gazprom Group, one of the world’s largest energy companies, was made in 2009 as a result of an open season procedure. For delivering the required 48.5 TWh of cushion gas to pressurise the reservoir and make commercial operations possible, Gazprom group will receive a minority share of the storage capacity and an interest in the technical operatorship of the facility.
Bergermeer is an open access gas storage. The majority of the storage capacity will be made available to the market via negotiated Third Party Access (TPA). The TPA capacity will be marketed via TAQA Gas Storage BV on both a longer-term basis and via annual auctions.