Italy's leading energy company by market value, Eni (E), and Algerian
state-owned energy group Sonatrach have reached a deal on the revision
of some conditions of their gas supply contracts for 2013 and 2014, Eni
said Tuesday.
Under the agreement, "Eni and Sonatrach will reduce certain
quantities of the contractual gas volumes delivered into Italy," Eni
said in a statement, without providing additional details.
Eni has been holding talks with its main gas suppliers, such
as Sonatrach and Russia's OAO Gazprom (GAZP.RS), as part of its plan to
make such contracts profitable. The contracts tie the price of the gas
Eni has to buy to more expensive oil prices and were signed under
long-term take-or-pay agreements.
"This agreement is part of the renegotiations program started
in the recent months, and contributes to the announced objectives of
profitability and cash generation," the Italian energy firm said