Italy may face a gas shortage of 5-6 billion cubic meters in the winter of 2023-2024 without a new regasification terminal, the CEO of energy company Eni (ENI.MI) Claudio Descalzi said, Reuters reports.

Italy plans to build a floating liquefied natural gas (LNG) terminal at Piombino in Tuscany based on a floating storage and regasification unit, which is due to be operational by the end of March next year to boost supplies to make up for the shortfall in Russian imports.

The infrastructure, operated by gas grid operator Snam, should get the green light by the end of October to increase the country's LNG capacity in early 2023.

Importing  gas from Algeria is vital for Italy because it replaces supplies from Russia. According to him, gas imports from Algeria will cover 38% of Italy's needs next year, compared to 12% before the Ukrainian crisis.