QatarEnergy pens LNG supply deal with Eni

QatarEnergy, the state-owned energy company of Qatar, has signed a long-term deal with Italy's Eni for the supply of up to 1mn tonnes/year of LNG from Qatar to Italy, it said on October 23.

The LNG will be delivered to FSRU Italia, a floating storage and regasification unit, located in the port of Piombino, in Italy's Tuscany region. The deliveries are expected to start in 2026 for a term of 27 years.

The LNG will be sourced from the joint venture between QatarEnergy and Eni which holds an interest in Qatar's North Field East (NFE) expansion project. Eni is a partner in the 32mn tonnes/year NFE expansion project with a 3.125% share.

This is the third major LNG supply deal signed by QatarEnergy this month. QatarEnergy signed a deal with France's TotalEnergies to supply 3.5mn tonnes/year of LNG with deliveries expected to start in 2026 for a term of 27 years. The company signed another similar deal with Shell for the supply of up to 3.5mn tonnes/year of LNG from Qatar to the Netherlands.

Qatar, the world's largest LNG exporter, held a groundbreaking ceremony on October 3 for the North Field expansion project, which will raise the country's LNG production capacity from 77mn tonnes/year to 126mn tonnes/year by 2026.