Centrica PLC (LSE:CNA) has announced a new deal with Repsol, set to prop up the UK's supply of liquefied natural gas (LNG).
British Gas-owner Centrica will buy one million tonnes of LNG from Spain-based Repsol between 2025 and 2027 under the agreement.
“When our security of supply is threatened, it’s customers that lose out,” Centrica chief executive Chris O’Shea commented.
“It’s reassuring that this agreement will ultimately help ensure that those on the front line of the energy crisis have some insulation from price fluctuations.”
The deal follows the signing of a 15-year supply agreement between Centrica and Delfin Midstream last July, worth US$8 billion, alongside a new three-year partnership with Equinor.
These deals also come after the reopening and subsequent expansion of the Rough gas facility in the North Sea from late 2022, which boasts over half of the UK’s storage capacity.