Eni and Energia Gas S.p.A., a Subsidiary of CIR Group, today signed a contract for the supply of 2 billion cubic metres a year of natural gas from Libya.
With this contract, Eni has completed the allocation of Libyan gas destined for export, which will reach 8 billion cubic metres a year at full volume. This gas will be produced by Agip North Africa B.V. together with the Libyan state-owned National Oil Corporation.
This is a "take or pay" contract. Supplies will commence in 2004 for a period of 24 years.
"This contract successfully completes the commercial phase of the "Libyan gas" project begun last year," declared Eni Managing Director Vittorio Mincato.
"The next phase is to complete the construction of the gasline which from 2004 will transport the 8 billion cubic metres a year from Libya to Italy, destined for Edison Gas (4 billion cubic metres a year), Gaz de France (2 billion cubic metres) and Energia Gas (2 billion cubic metres).
With the "Libyan gas" operation, in which 5.6 dollars will have been invested (just under 14 thousand billion lire), Eni is giving a considerable boost to the opening of the Italian gas market ".