Centrica seeking to meet “collateral demands” from high energy prices

British Gas owner is reportedly engaged in ongoing talks with banks to secure billions of pounds in extra credit

Big Zero Report 2022

Centrica is reportedly in discussions with banks to secure billions of pounds in extra credit to meet “collateral demands” as a result of the volatility in the energy market.

That’s according to the Financial Times which cited people familiar with the negotiations.

The report follows another increase in wholesale gas prices as Russia halted gas flows through a major pipeline.

Last month, Centrica signed a £7 billion deal with the US LNG infrastructure firm Delfin to buy liquefied natural gas (LNG) from 2026.

Just a few days ago, the UK’s oil and gas regulator gave the green light for the energy giant to start pumping natural gas into its Rough storage site.

Centrica declined to comment.

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