Italian energy giant Eni and Algerian state energy firm Sonatrach have signed agreements to renew the gas supply contract to import Algerian gas into Italy until 2027.
Eni said on Thursday that the agreement covers almost 15 percent of the gas imported into Italy.
The company added that the agreement also has an additional two further optional years. The deal also defines the transportation arrangements through the pipeline crossing the Mediterranean Sea.
According to Eni, these agreements follow in the steps of a partnership on gas supply and transportation that was established more than 40 years ago, encompassing major pipeline projects and many decades of successful supply to Italy.
Eni’s CEO Claudio Descalzi said: “ I am particularly pleased with the renewal of the gas supply contract and the level of the strategic partnership with Sonatrach which spans from the exploration and production sector to gas marketing and transportation, to renewables. “