Enagás reaps the fruits of the sale of Tallgrass Energy: it relieves 1,000 million of debt and prepares the investment in hydrogen

Net profit, excluding the impact of asset rotation due to this Tallgrass operation and the sale of the Morelos gas pipeline in 2023, reached 233.5 million euros, 7.8% higher than that recorded in the same period of 2023.

The gross operating result (Ebitda), in turn, stood at 572.8 million euros, with an increase of 0.1%, in results that have cushioned the impact of the 2021-2026 regulatory framework.

In a statement, the group led by Arturo Gonzalo highlighted that with these results, the profit after taxes in the first nine months of the year evolves to exceed the annual objective updated in July, which was in a range of 270-280 million euros. not including asset rotation, and losses of 90-80 million euros, including the accounting loss associated with the sale of Tallgrass Energy.

Regarding the Ebitda objective, the group estimated that at the end of the year it will be at the top of the range, between 730 and 740 million euros. Likewise, it maintains its dividend commitment of one euro per share for the period 2024-2026, with a sustainable dividend policy beyond 2026, in accordance with cash flows.

In addition, the company plans to present the update of its Strategic Plan coinciding with the presentation of annual results, in the first quarter of 2025.

Enagás lightens its debt

At the end of last July, Enagás closed the sale of its stake in Tallgrass Energy for 1,100 million dollars (about 1,018 million euros) to face the hydrogen investment cycle, strengthen the balance sheet and give solidity to the dividend policy of the company, as well as its long-term sustainability.

This operation has had a positive impact on the company’s financial and business profile, allowing it to reduce its net debt by almost 1,000 million euros, reaching 2,421 million euros.

Specifically, the funds generated from the sale have been used in amortize early 700 million dollars (about 647 million euros) of bank debt. In addition, with the rest of the available cash, a bond of 600 million euros, maturing in February 2025, will be partially repaid.

Thus, after the sale of Tallgrass, the debt target at the end of the year stands at around €2.4 billion, at its lowest levels since 2008, and this figure will be maintained in 2026.

In this way, the rating agencies S&P and Fitch have improved the group’s rating from ‘BBB’ to ‘BBB+’, and Moody’s has raised its outlook from ‘Baa2’ to ‘positive’.

It has 100% of the gas system

Regarding the Spanish gas system, Enagás highlighted that it continues to operate with 100% availability, in a year marked by international conflicts in the Middle East and Ukraine. During the first nine months of the year, Spain received natural gas from 12 different countries.

In this area and following the indication of the Ministry for the Ecological Transition and the Demographic Challenge, on August 12, the energy company activated – five months before the limit imposed by the European Union – the procedure that establishes the methodology for monitoring, control and authorization of LNG loading carried out in the Spanish gas system, complying with the European Union sanctions package approved through European Council Decision (CFSP) 2024/1744 of June 24.

Furthermore, after the latest regasification plant capacity auctions carried out, 2,189 liquefied natural gas (LNG) unloading slots and 950 loading slots have been contracted until 2039.

With regard to underground storage, September ended at 100% full, a level that was reached in mid-August, making Spain the country in Europe – with Portugal – that has reached this level the fastest, anticipating the obligations established by European regulations. As of today, storage remains at 100% full.