MEDGAZ, S.A. is pleased to announce that today, it signed a Cooperation Agreement with representatives of fishermen who operate in the vicinity of the gas pipeline between Almería and Algeria, currently under construction.

Signatories to the Agreement included Juan Antonio Vera, General Manager of MEDGAZ, Melchor Galindo, President of the Provincial Federation of Fishermen’s Guilds in Almería-Motril, and José María Gallart, who heads the Fishing Association ASOPESCA.

The ceremony was presided by Miguel Corpas, Deputy Government Representative for Almería, Martín Soler, the Andalusian Government’s Secretary for Agriculture & Fisheries, and Miguel Recio, Representative of the Andalusian Government in Almería, as mediators in the negotiations.

The Cooperation Agreement awarded 3 million euros in compensation for any possible disturbances or inconveniences that may arise during the construction of the deepwater pipeline, scheduled to come on-stream in 2009. It also includes a pledge to maintain ongoing collaboration and communication among all parties involved, as has been the case until now. MEDGAZ undertakes to perform all the work with utmost respect for the local environment and communities. The fishing industry likewise has assured that it will not interfere with the pipeline’s construction.

The Cooperation Agreement deems that the gas pipeline is a non-detrimental infrastructure that, once laid, will not have any adverse impacts on the environment or the fishing industry.

During his speech, Juan Antonio Vera highlighted "MEDGAZ’s satisfaction with the Agreement and the way negotiations have developed. The efforts made, as well as the outcome, evidences our commitment to and engagement with Almeria’s society and communities". MEDGAZ’s General Manager also expressed his gratitude to the Authorities, "particularly to the Central Government’s Representation in Almeria and the Andalusian Regional Government for their involvement and efforts to bring together all sides and positions. Thanks to the Authorities, negotiations were conducted in an atmosphere of understanding, support and good will".

Almería, 29 de September 2008
MEDGAZ SA
External Relations
Tel. +34 91 312 54 24
www.medgaz.com