The agreement signed by the European Investment Bank and Gas Natural Fenosa is the second instalment of a total €500 million loan. With this agreement, the company will develop actions to spread its distribution network across 11 Spanish regions, with 59% located in convergence regions.

Gas Natural Fenosa will receive a total €500 million loan from the European Investment Bank (EIB) to expand the company's distribution network across 11 Spanish regions during 2011-2013 with 59% located in convergence regions. Spain was in 2011 the biggest recipient of EIB funds for the eighth year running. Last year, it signed loan agreements amounting to €9.079 million. Recently, the European Investment Bank also announced that funding for SMEs had reached a record level in 2011.

According to the EIB, the project will improve energy security and reliability by increasing the network’s capacity to meet peak demand and bring environmental benefits by replacing more polluting fuels with gas. One of the EIB's priority is fostering a secure, competitive and sustainable energy supply.

On this way, the company foresee to extend the network; the laying of new pipelines to deliver gas from the national transmission system to the distribution networks; the installation of pressure reduction systems; and the enhancement of information systems.