QatarEnergy pens 27-year LNG supply deal with Eni

Italian energy major Eni has signed a long-term contract with QatarEnergy LNG NFE for the delivery of up to 1.5bn cubic meters per annum of LNG.

The available volumes for QatarEnergy LNG NFE, a JV between Eni and QatarEnergy for the development of the North Field East project in Qatar, will be delivered at the receiving terminal FSRU Italia, currently located in Piombino with expected deliveries starting from 2026 with a duration of 27 years.

The LNG volumes produced by the NFE project will increase Qatar’s LNG production by 45 bcm in addition to the current 108 bcm.

The LNG supply contract will contribute to Italy’s security of supply through the diversification of its supply sources. Eni has been importing 2.9bn cubic meters annually in Europe from Qatar since 2007 under a long-term supply agreement.

According to Eni, the participation in the NFE project and the LNG contract are in line with its transition strategy, which aims to progressively increase the role of gas in Eni’s upstream production, reaching 60% by 2030, and increasing the contribution of equity LNG.