The pipeline interconnection would give Spain and Portugal some flexibility in using their LNG terminals in a much more creative manner. If you have the guarantee of pipeline gas capability to replace lacking LNG, you may play with the capacity and start to trade. But for that, you really need to be sure that the pipeline gas is coming and I sense that this would take more than just some pipeline. France needs better interconnections within its own borders.
Plans to position Iberia as a liquefied natural gas gateway for Europe hold promise of ending the peninsula’s outlier status in the continent’s energy markets while also boosting the continent’s energy sovereignty. But the ambitions face regional competition, geographic realities and uncertainty over future European gas demand.