Gaz de France, Suez on track to merge

PARIS, Feb. 26 (UPI) -- The merger between Gaz de France and Paris-based Suez is on track.

GDF Chief Executive Officer Jean-Francois Cirelli told La Tribune the deal with Suez, an international industrial and services group, will go ahead in the first half of this year.

Doubts were raised after French unions won a court ruling upholding their demand but Cirelli said he expects GDF's French works council to give its opinion in April and the European works council should issue its opinion on March 11, he said.

Cirelli also said the agreement announced last September will stay 21 GDF shares for every 22 Suez shares.

"What interests us, Suez and GDF, is essentially gas and electricity assets" in France and Europe, Cirelli said.

Cirelli said GDF is also interested in developing gas in Qatar and has been invited to bid for an offshore exploration contract in the Gulf state.

"Exploration-production has become a key area for us," he said.