The Interconnector is a natural gas

Natural gas

Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...

 pipeline

Pipeline transport

Pipeline transport is the transportation of goods through a pipe. Most commonly, liquids and gases are sent, but pneumatic tubes that transport solid capsules using compressed air are also used....

 between the United Kingdom

United Kingdom

The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...

 and continental Europe. It crosses the North Sea

North Sea

In the southwest, beyond the Straits of Dover, the North Sea becomes the English Channel connecting to the Atlantic Ocean. In the east, it connects to the Baltic Sea via the Skagerrak and Kattegat, narrow straits that separate Denmark from Norway and Sweden respectively...

 between Bacton Gas Terminal

Bacton Gas Terminal

The Bacton Gas Terminal is a large gas terminal found on the North Sea coast in North Norfolk near Paston and between Bacton and Mundesley. The nearest main town is North Walsham. The other main UK gas terminals are at St Fergus, Aberdeenshire and the Easington, East Riding of...

 in England

England

England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...

 and Zeebrugge in Belgium

Belgium

Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...

. Construction of the pipeline was completed in 1998. It provides bi-directional transport capability to facilitate energy trading in both markets. Gas export from the UK is termed "forward flow" and gas import to the UK is termed "reverse flow"

Economic impact

The UK export capacity of the Interconnector is 20 billion cubic metres per year. Since October 2007, the UK import capacity is 25.5 billion cubic metres per year following an expansion phase. Besides the physical capability of gas transfer created by the Interconnector, there is a much greater economic factor which allows energy trading between countries. This can result in future production being bought and sold because of the possibility of the use of the Interconnector. Often in practice because of the transport cost, gas is not actually transported but sold back into the market in the originating country.

Shareholders

Interconnector is owned by:

• Caisse de dépôt et placement du Québec
  Caisse de dépôt et placement du Québec
  The Caisse de dépôt et placement du Québec manages public pension plans in the Canadian province of Quebec. It was founded in 1965 by an act of the National Assembly...
  
   (33.5% of shares)
• Eni
  Eni
  Eni S.p.A. is an Italian multinational oil and gas company, present in 70 countries, and currently Italy's largest industrial company with a market capitalization of 87.7 billion euros , as of July 24, 2008...
  
   (16.41% - 5% directly and 11.41 through Distrigas
  Distrigas
  Distrigas is a natural gas company based in Belgium. It is a subsidiary of the Italian energy company Eni. In addition to Belgium, the company operates also in France, the Netherlands and Germany.-History:...
  
  )
• E.ON
  E.ON
  E.ON AG, marketed with an interpunct as E•ON, is the holding company of the world's largest investor-owned energy service provider based in Düsseldorf, Germany. The name comes from the Greek word aeon which means eternity....
  
   Ruhrgas (15.09%)
• ConocoPhillips
  ConocoPhillips
  ConocoPhillips Company is an American multinational energy corporation with its headquarters located in the Energy Corridor district of Houston, Texas in the United States...
  
   (10%)
• Gazprom
  Gazprom
  Open Joint Stock Company Gazprom is the largest extractor of natural gas in the world and the largest Russian company. Its headquarters are in Cheryomushki District, South-Western Administrative Okrug, Moscow...
  
   (10%)
• Fluxys
  Fluxys
  Fluxys is a Belgium-based company, mainly acting as a natural gas operator. In 2004, it employed around 850 people and its infrastructure comprised about 3,700 km of pipelines and a terminal in Zeebrugge, Belgium...
  
   (10%)
• GDF Suez
  GDF Suez
  GDF Suez S.A. is a French multinational energy company which operates in the fields of electricity generation and distribution, natural gas and renewable energy. The world's largest utility after taking control of Britain's International Power, the company was initially formed by the merger of Gaz...
  
   (5% - through Electrabel
  Electrabel
  Electrabel is a Belgium-based energy corporation. It is a subsidiary of GDF Suez.-History:Electrabel was established in 1905. Its actual name originates from 1990, after the regrouping of the companies Intercom, Ebes and Unerg....
  
  )