Spanish energy group Gas Natural Fenosa has unveiled its 2016-2020 strategic plan, targeting €14bn of capital expenditures over this period. Half of this amount will be directed to networks (€4.8bn in 2016-2018 and €2.5bn in 2019-2020), with €4.5bn invested in power generation (€1.7bn in 2016-2018 and €2.7bn in 2019-2020), €1.6bn in gas activities (€1.2bn in 2016-2018 and €0.4bn in 2019-2020) and €0.7bn in services and others.
The group plans to invest €5.1bn in gas network, mainly in the gasification of Chile, Mexico and Colombia and in a new gas project in Peru. Gas Natural Fenosa will also invest €2.1bn in electricity networks, to meet additional demand in Chile, Colombia and Panama and to support the development of renewable capacities in Chile; the group will also invest to improve the efficiency of power grids in Colombia and in smart grids in Spain. Where gas activities are concerned, Gas Natural Fenosa will focus on investments in new fleet and floating terminals and on other midstream gas investment allowing access to premium LNG markets.
Gas Natural Fenosa remains confident in growth opportunities in Latin America: it generates 29% of its EBITDA in Brazil, Mexico, Colombia and Chile and is leader in terms of gas networks in this four countries (second in Argentina). The group bets on gasification progress in Latin America and aims to gain 1.4 million new gas supply points by 2018 and another 1.2 million by 2020.