Equinor-Centrica Strike £20 Billion Gas Deal with Hydrogen Transition Clause

Equinor and Centrica are teaming up in a big way—signing off on a massive £20 billion deal that’ll run for…

Jun 10, 2025 - 08:30
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Equinor-Centrica Strike £20 Billion Gas Deal with Hydrogen Transition Clause

Equinor-Centrica Strike £20 Billion Gas Deal with Hydrogen Transition Clause

Equinor and Centrica are teaming up in a big way—signing off on a massive £20 billion deal that’ll run for the next 10 years. Starting October 2025, natural gas imports from Norway will supply the UK with 5 billion cubic meters of gas each year. That’s close to 10% of the country’s total annual demand.

A gas deal with an eye on hydrogen

What makes this agreement stand out isn’t just the numbers—it’s the built-in clause that allows the supply to shift from natural gas to hydrogen over time. That’s a big step forward for the UK’s push to reach its net-zero emissions goal by 2050. Essentially, it’s a bridge to a cleaner future, one that gives flexibility while laying the groundwork for a more sustainable energy mix.

Energy security now, hydrogen economy later

This move couldn’t be more timely. With the UK’s local gas production steadily declining, not to mention the uncertainty of global energy markets, locking in a reliable energy supply is a smart play. But beyond just keeping the lights on, the deal also points to the future—with Equinor looking to eventually pivot toward blue hydrogen, created through hydrogen production using carbon capture technology.

The cautious optimism around hydrogen

While energy experts are giving this partnership a thumbs-up for its long-term vision and support for the UK’s hydrogen infrastructure, not everyone’s completely sold. Climate groups are likely to raise questions unless there’s a solid and swift move toward replacing gas with low-carbon hydrogen. The pressure will be on to make sure the shift isn’t just a distant promise, but a real and rapid transition toward a cleaner energy system.

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