By Christopher Emsden

ROME--Italy's gas distributor Snam SpA (SRG.MI) said Wednesday it planned to issue a dividend of EUR0.25 a share this year and next as part of its commitment to an "attractive and sustainable" payout policy.

Snam will later Wednesday present its strategic plan for 2014 through 2017, outlining 6 billion euros ($8.4 billion) in investments aimed at bolstering Italy's gas system and making it more flexible.

The plan envisions closer integration with gas systems around Europe, said Chief Executive Carlo Malacarne.

Gas transport capacity will be built up in northern Italy with an eye to making physical export to northern Europe more possible, the company said.

Italy has large gas supplies from northern Africa that could help offset sporadic tensions linked to Russia's supply to Germany.

Snam, one of Italy's 10 largest listed companies with a market capitalization of EUR14 billion will present its plan to financial analysts and institutional investors at 1400 GMT.

Write to Christopher Emsden at chris.emsden@wsj.com

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