Commercial operations at the Medgaz natural-gas pipeline linking Algeria to Spain are set to start Friday, shareholder GDF Suez SA (GSZ.FR) and Algeria's official news agency said.

Algerie Presse Service said Thursday that commercial operations at the EUR900 million pipeline will start Friday, citing Algeria's Energy Minister Youcef Yousfi. A spokesman for GDF Suez confirmed the information Friday. Medgaz didn't return a request for comment.

Yousfi had previously said the pipeline's commercial start up, which has been delayed for more than a year amid technical issues, was due in April.

APS said Thursday that state-oil giant Sonatrach had signed accords with its Spanish partners in the pipeline, Cepsa, Endesa SA (ELE.MC) and Iberdrola SA (IBE.MC) , and GDF Suez to supply 8 billion cubic meters of natural gas a year for 20 years.

-By Benoit Faucon and Geraldine Amiel, Dow Jones Newswires; +44-20-7842-9266; benoit.faucon@dowjones.com