Centrica signs 10-year gas deal with Statoil

The parent company of British Gas, Centrica, has today signed a ten-year deal with Statoil for the supply of 50 billion cubic metres of gas to the UK.

The contract will start in 2015 and Centrica said it would supply enough gas to meet 5 per cent of the UK’s total annual demand, enough for 3.5 million homes.

And in a separate deal, Centrica has bought from Statoil a gas and oil field in the Norwegian North Sea for $1.5bn, marking the company’s debut as an operator of producing assets in Norway.

Centrica chief executive Sam Laidlaw said the 10-year supply deal would raise the total value of Centrica’s UK gas supplies to more than GBP50bn.

“Centrica is at the forefront of helping to deliver UK energy security and our strategic relationship with Statoil links us to one of the world’s largest gas exporters and a natural partner to the UK,” he added.

The deal was also hailed by Prime Minister David Cameron, who said: “Gas plays a central role in powering our economy, and will continue to do so for decades to come. Today’s agreement will help to ensure the continued security and competitiveness of gas supplies to Britain, from a trusted and reliable neighbour.”

Statoil president Helge Lund said the deal proved that “natural gas is set to play an important role in the UK’s long term energy mix”.

Follow Power Engineering International on Twitter

Related Articles

EDF-Areva to take on the cost of Hinkley Point C nuclear over runs

EDF-Areva has confirmed that it will bear the cost of any over runs associated with the Hinkley Point C nuclear power project.

Total calls off Danish shale gas probe

Total has ceased exploration for shale gas in Denmark, citing the limited amount found.

Latest Articles

Editor's Picks

GE unveils transformational Digital Power Plant

GE yesterday unveiled a digital initiative that it claims will revolutionise the power industry and save plant operators b...
Anne Carpenter of IEA Clean Coal Centre

Report highlights need for enlightened approach to water and power generation

The International Energy Agency’s Clean Coal Centre has produced its latest insights into what is referred to as the ‘wate...

UK gives £2bn backing to Hinkley Point nuclear project

The UK government has reaffirmed its commitment to Hinkley Point C new nuclear power station by unveiling a £2bn ($3.1bn) ...

Policy tinkering sees financial lure of UK renewables sector plummet

The UK’s attractiveness for renewables investment has plummeted in the last few months thanks to “policy-making in a vacuu...

US leapfrogs China to top renewables investment table

The US has leapfrogged China to the top slot in a highly-regarded annual analysis of the best countries in the world for r...

Editorial Guides

Lubrication Challenges for the Biogas Industry in 2015

The biogas industry is growing in importance as the world continues to look for alternative, clean energy sources. However...

Maximising Power Plant Efficiency

The need for power plants to operate at maximum efficiency and flexibility while cutting emissions is greater than ever be...

How to cut your OPEX

How to cut your OPEX In a constantly evolving electricity market, factors such as over capacity and low coal costs can pu...

Buyers Guide Companies

Rolls Royce Energy Systems

We supply gas turbines, compressors and diesel power units to customers ...

Lenox Instrument Co

Lenox Instrument Co is a manufacturer of highly reliable fixed and porta...

ATG Electronics

For more than a decade, ATG Electronics has established itself as a lead...

SWAN Analytical Instruments AG

Is one of the leading manufacturers of online analytical instruments.

Bran & Luebbe, An SPX Brand

Bran & Luebbe, an SPX brand, has been a worldwide leader in metering, an...

Buyers Guide Products

Excitation System

Our excitation systems are recognized worl...


Compact voltage regulator, integrates all ...

DMT340 Series Dewpoint and Temperature Transmitters for Very Dry Conditions

The Vaisala DRYCAP® Dewpoint and Temperatu...

MHT410 Moisture, Hydrogen and Temperature Transmitter

The Vaisala Moisture, Hydrogen and Tempera...

Control Servo Motor SMR

A Voith control servo motor is a linear el...

Power Engineering International


The Effect of Moisture Sensor Location on Reliable Transformer Oil Monitoring

Power transformers are among the most valuable and important assets in electrical power networks and moisture is one of the key factors impacting the operational performance of transformer oil.&nbs...

Engineering & Design for Lean Construction

AVEVA introduces the benefits of Engineering and Design for Lean Construction by challenging the concept of ‘right first time design' and presenting a ‘Lean’ approach. A Lean approach to project ex...

Bridging the Power Gap in Africa: Testing options to manage constrained short to medium term system operations

Around the world, existing power systems face increasingly constrained operations in the short to medium term with available ageing generation capacity.  In this paper, PLEXOS® has been used t...

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New challenges and opportunities are continually appearing thanks to dramatic developments in technology...

Latest Digital Edition

Look Inside >
Current Issue

Article Archives for Power Engineering International Magazine