Nippon lands Medgaz gig

A winning pair: in Japan

Japan's Nippon Steel has won a contract worth about 10 billion yen ($83.5 million) on the Medgaz pipeline, which will bring Algerian gas to Spain via a new subsea link, according to reports.

Nippon Steel had received the order, along with compatriot Mitsui, to deliver high-strength pipes for the deep-water gas pipeline, a report carried by Japan's Nikkei news agency said.

The 226-kilometre pipeline will transport gas from Spain to Algeria under the Mediterranean Sea.

Of the 90,000 tonnes of large-diameter pipes required for the project, Nippon Steel will supply around 50,000 tonnes, including portions to be used at a maximum underwater depth of 2160 metres.

The pipeline will be installed this year, with natural gas expected to begin flowing through it around mid-2009.

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