Seoul: Korea Gas Corp. (KOGAS), the state-operated gas utility of South Korea, announced it has entered into a 10-year contract to acquire 700,000 tons of liquefied natural gas (LNG) annually from BP plc.

According to Yonhap News Agency, the procurement of LNG under this agreement is scheduled to commence in 2028. This contract follows a previous agreement KOGAS signed in August of the prior year, which involves the importation of 3.3 million tons of LNG per year from the United States, starting from 2028.

KOGAS stated that the recent agreement with BP is a strategic move to diversify South Korea's energy supply sources. The deal is also anticipated to contribute to the stabilization of gas prices, which have been affected by ongoing uncertainties related to the prolonged crisis in the Middle East.