Eni signs 10-year LNG supply deal with Turkey’s Botas

Italian energy company Eni has signed a long-term liquefied natural gas (LNG) sale agreement with Turkey’s state-owned pipeline operator Petroleum Pipeline Corporation (Botas).

Eni will supply 0.4 million tonnes per annum (mtpa) of LNG to Turkey for 10 years, starting in 2028, it said in a statement.

Ankara is a major importer of Russian natural gas, with shipments made via twin pipelines, TurkStream and Blue Stream, running beneath the Black Sea linking into the national distribution grid, with some of the take sold on to southeastern Europe. However, the country is scaling back its imports of Russian oil and gas due to the threat of US sanctions.

Eni’s new contract follows a three-year deal signed by the two companies in September for the supply of approximately 0.4 mtpa of LNG starting from November. 

No financial details were shared.

The agreement is in line with Eni’s strategy to diversify its global LNG footprint and expand its customer base in high-potential markets. The company aims to grow its LNG portfolio to approximately 20 mtpa by 2030, leveraging its projects in Congo, Mozambique, the US, Indonesia, and other countries. 

In September, Botas signed a 20-year LNG supply of 70 billion cubic metres (bcm) of natural gas, or 4 bcm per year, with commodity trader Mercuria.

Botas signed a deal to purchase 16 bcm of LNG from France’s TotalEnergies in September 2024.