Danish utility Dong Energy and Russia-based Gazprom have signed a letter of intent to cooperate in gas-fired power generation.

The cooperation will focus on promoting the use of natural gas in Europe as a cleaner alternative to coal and a complement to the expanding renewable power generation capacity.

The companies said that the cooperation will combine Dong’s experience and capabilities in power generation with long-term gas supply from Gazprom in a joint effort to build new gas-fired power capacity in Europe.

Dong Energy CEO Anders Eldrup said that a strong focus on renewable energy and gas-to-power will become an important cornerstone in the transition to the sustainable energy production of the future.