Centrica signs deal with Norway gas firm for extra UK supplies

(qlmbusinessnews.com via theguardian.com – – Thur, 16th June 2022) London, Uk – –

Centrica says Equinor will deliver enough gas for next three years to heat 4.5m extra homes

The British Gas owner, Centrica, has signed an agreement with Norway’s state oil company Equinor for additional gas supplies for the UK, helping bolster supply for the next three winters.


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Many European countries are seeking to secure additional gas from other sources as they try to reduce reliance on Russian fuel imports.

Centrica said Equinor would deliver an additional 1bn cubic metres of gas supplies to the company for each of the next three years, enough to heat an additional 4.5m homes.

Chris O’Shea, Centrica’s chief executive, said: “At a time when energy security is paramount, I’m pleased that we are able to do our bit to ease the pressure and provide some more certainty ahead of what may be a difficult winter.

“This important agreement with Equinor underpins vital domestic supplies and strengthens the strategic relationship between the UK and Norway.”

Although Russia meets only about 4% of Britain’s gas needs, a significant disruption in supply would affect prices in Europe and make it harder for Britain to secure gas from others.

The business and energy secretary, Kwasi Kwarteng, said: “While we ramp up cheap renewables and accelerate British nuclear to boost our greater energy independence, we will still need natural gas for many decades to come.

“With Russia’s criminal invasion of Ukraine, it is more important than ever that we source more of the gas we need domestically, but also from safe and reliable import partners while we transition.


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“This major supply deal agreed today will help underpin British energy security over the next few years, and also reinforce our partnership with Norway as a key international energy ally.”

The new deal takes Centrica’s total supply deal with Equinor to more than 10bn cubic metres a year, about 12% of Britain’s total gas demand.