Centrica inks 15-year LNG supply deal

The energy giant’s agreement will ensure the delivery of approximately 14 cargoes per year, supplying enough energy to heat 5% of UK homes

Centrica and Delfin Midstream Inc. have announced a long-term agreement to purchase 1.0 million tonnes per annum of Liquefied Natural Gas (LNG) for 15 years.

Under the agreement, Centrica will receive around 14 LNG shipments per year, providing enough energy to heat 5% of UK homes over the duration of the contract.

The deal, valued at $8 billion (£6.2bn), is part of Centrica’s efforts to strengthen the UK’s energy security. It follows a three-year supply agreement with Equinor and the reopening of the Rough gas storage facility, which now holds half of the UK’s total gas storage capacity.

Chris O’Shea, Centrica Group Chief Executive Officer, said: “As well as strengthening the trade links between the UK and US, this deal – alongside reopening Rough and our major deal with Equinor – shows that Centrica is investing heavily to future-proof the UK’s energy supply and address one of the underlying causes of the energy crisis.”

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