Qatargas to Supply LNG to E.ON

Qatargas on Wednesday signed five year LNG supply agreement with E.ON Global Commodities.

Under the contract, the Qatari firm will supply up to 10 bcm (billion cubic meters) over its term, which is set to commence in 2014, Kuwait News Agency reported.

"The deal works well because it utilizes our existing regasification position and provides Qatargas with access to arguably the most diverse European end user portfolio and, as a result, a new commercial home for their volumes," E.ON CEO Christopher Delbruck said.

The agreement with Qatargas is the second important long-term contract signed by E.ON in the last few weeks. The company announced in September that it had completed a 25-year deal to bring 40 bcm of gas from Azerbaijan's Shah Deniz field to Europe.

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