Gazprom, Eni to Revise Terms of Gas Supply Contracts

Gazprom CEO Alexey Miller and Eni CEO Claudio Descalzi have today signed an agreement to revise the terms of gas supply contracts.

The agreement involves a reduction in supply prices and an important change in the price indexation to fully align it with the market. In addition, in 2014 Eni’s ability to recover gas pre-paid under “take or pay” clauses will be significantly enhanced.

The terms apply retroactively from the start of 2014.

The agreement reached today with Gazprom is a key part of Eni’s effort to renegotiate all third-party long-term gas supply contracts, with the target of achieving a fully competitive portfolio.

[mappress]
Press Release, May 23, 2014; Image: Gazprom