France-based Total has agreed to enter into exclusive negotiations with a consortium that comprises the Singapore government of Investment Corporation; Italy’s gas grid operator Snam Rete Gas; and France’s state-controlled energy utility Électricité de France to sell the French gas network and storage unit, Transport Infrastructures Gaz France (TIGF), for S$3.89 billion. The consortium will soon present its plans for the support and development of TIGF with the latter’s employee representatives. TIGF will then consult with Total before it makes a final decision on the sale. TIGF owns and manages the 5,000 km gas pipeline network in southwest France and two important gas storage sites in Lussagnet and Izaute. Total put up TIGF for sale in 2012, as part of the company’s wider strategy to sell around S$18.5 billion–S$24.7 billion of assets by 2015, in order to enhance its cash flow and finance substantial investments in exploration and production activities.
