Norway’s Equinor seals additional winter gas deal with UK’s Centrica

Norway’s state-backed energy major Equinor will supply an additional 1 Bcm per year of gas to the UK under a new deal with utility major Centrica, the companies said on Thursday.

The supply agreement between Equinor and Centrica will provide further energy security for the UK over the coming three winters, and brings the total volume to be supplied by Equinor to Centrica to 10 Bcm/year, the companies said.

“In a period with a challenging geopolitical and macroeconomic environment with strong demand for natural gas, we at Equinor are doing what we can to export as much gas as possible to the market,” Equinor’s senior vice president Gas & Power, Helge Haugane, said in a statement.

“Equinor is proud to be a long-term, reliable energy partner with both Centrica and the UK, and I am very happy that through this agreement we are able to contribute to the UK securing further energy supply for the coming winters,” Haugane said.

The UK currently imports around a third of its gas requirements from Norway. Equinor every year typically supplies 20-22 bcm of natural gas to the UK which covers over 25% of the UK gas demand.

“This agreement is good news for the country and for our customers. At a time where energy security is paramount, I’m delighted 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,” Chris O’Shea, Centrica Group Chief Executive, said in a statement.