Italian energy giant books Norwegian gas supplies until mid-2030s

Norwegian oil and gas player Vår Energi has secured a contract extension with Italy’s energy heavyweight Eni, enabling it to provide the oil major with natural gas for an additional 12 years.

Under the deal, the Norwegian firm is set to deliver up to five billion cubic meters (bcm) of gas in the 2024–2036 period to the Italian major through Germany’s Emden and Dornum gas terminals. This comes on the heels of a contract Vår Energi signed with VNG in mid-June with the same terms.

Vår Energi’s CEO, Nick Walker, noted: “The agreement with Eni, being confirmed shortly after a similar signing with VNG, is yet another strong testimony of Vår Energi’s commitment to being a stable and reliable energy supplier to key European markets.

“The deal entails doubling our committed delivery of natural gas to a total of 10 bcm over the 12-year period to two of our long-standing partners. This will ensure access to energy for households, communities and businesses across the continent until the mid 2030’s.” 

After completing an intra-group merger with its wholly-owned subsidiary, Vår Energi Norge, the Norwegian firm made a new commercial oil and gas discovery in the North Sea last week. The discovery is a candidate to be tied back to the Gjøa platform off the coast of Norway due to its proximity.

Meanwhile, Eni has been busy building another floating liquefied natural gas (FLNG) unit destined for work on Congo LNG, described as Congo’s first natural gas liquefaction project. The Italian heavyweight confirmed that the construction is progressing according to schedule, with work expected to start in 4Q 2025.