Shell Signs Long-Term U.S. LNG Deal with Edison, Enhancing Energy Security in Italy

Shell has signed a long-term LNG supply deal with Italian firm Edison, where Edison will buy 0.7 million tons of US LNG from Shell for 15 years starting from 2028. The deal is expected to enhance Edison's LNG and gas portfolio, reinforce the US as a reliable supply source, and improve the reliability and efficiency of Edison's supply chain. Shell's subsidiary, Shell International Trading Middle East, will supply the LNG.

Shell International Trading Middle East Limited (Shell ITME) has signed a 15-year long-term LNG supply agreement with Italian energy firm Edison, effective from 2028. Under this deal, Edison will purchase approximately 0.7 million tons of US LNG per year from Shell ITME Edison Signs Major LNG Supply Deal with Shell and Chenière^[1].

The agreement is part of Edison's broader strategy to diversify its gas supply and enhance the security and flexibility of its long-term portfolio. The LNG will be sourced from Shell's US operations and delivered on a Free on Board (FOB) basis, allowing Edison to manage its own transportation logistics Shell pens US LNG supply deal with Edison^[2].

Fabio Dubini, Executive Vice President of Gas & Power Portfolio Management & Optimization at Edison, stated, "This second channel from the United States is another strategic move aimed at increasing Italy's security of supply and strengthening the long-term competitiveness and flexibility of our portfolio" Shell pens US LNG supply deal with Edison^[2]. Edison currently imports around 14 billion cubic meters of natural gas annually, with contracts from various suppliers including Qatar, Libya, Algeria, Azerbaijan, and the United States, meeting 23% of Italy's domestic demand Italy’s Edison to Buy U.S. LNG Under 15-Year Deal with Shell^[3].

The deal with Shell further solidifies the United States as a reliable supply source for Italy. Shell's subsidiary, Shell ITME, will supply the LNG, which will be transported using Edison's own fleet of LNG carriers Italy’s Edison to Buy U.S. LNG Under 15-Year Deal with Shell^[3]. This partnership underscores Edison's commitment to expanding and enhancing its LNG and gas portfolio while consolidating the United States as a strategic supply source Italy’s Edison to Buy U.S. LNG Under 15-Year Deal with Shell^[3].

By 2030, Edison aims to maintain at least a 20% share of the Italian market, contributing to national energy security and providing rapid responses during crises. This latest agreement with Shell aligns with Edison's goal of diversifying gas supply by opening new routes and strengthening its supply chain reliability and efficiency Shell pens US LNG supply deal with Edison^[2].