Multinational oil and gas company BP and Austrian energy and chemicals company OMV Group have signed a long-term LNG sale and purchase agreement (SPA).

As per the agreement, BP will provide OMV with up to one million tonnes of LNG annually for a span of 10 years beginning 2026.

LNG received by OMV will undergo the process of regasification through the company’s Gate LNG Terminal in Rotterdarm, the Netherlands, as well as at some of their other terminals in Europe.

Chairman of the Executive Board and OMV CEO Alfred Stern said: “It is one of OMV’s key priorities to drive forward our ongoing diversification of supply sources that encompasses gas from our own production and external sources from Norway, as well as additional LNG volumes.

“In tandem with the recent news regarding our additional gas transport capacities until 2028, our agreement with BP reflects our significant contribution to the security of supply to our customers in Austria and Europe.”

BP Vice President of Global LNG Trading and Origination Jonty Shepard stated that BP sees LNG as an essential part of the energy transition and is essential for the company’s pivot to becoming an integrated energy company.

“Europe is a significant LNG market and this agreement with OMV further demonstrates our LNG supply capability in the region, supporting security of supply for our European customers,” said Shepard.

Both BP and OMV are striving to achieve net zero by 2050.