Centrica, the UK's biggest domestic energy supplier, has come to an agreement with one of its partners that will spell the end of a long-term supply deal.
The supply agreement, signed in August 2004, was initially meant to last for 15 years - but Malaysia's Petronas and Centrica have come to a joint decision to cut short the liquefied natural gas (LNG) deal.
Initially meant to cover the supply of an average annual three billion cubic metres of LNG, the agreement has been terminated with immediate effect "due to certain conditions precedent in the contract not having been satisfied".
"Centrica and Petronas continue to seek ways in which the two companies can work closely together in the future," the statement, which provided no further details, continued.
The pact was meant to be worth £4 billion over the course of its 15 year duration.
Centrica says that it already has deals in place to cover the gas it will lose as a result of the termination of this contract.
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