Abu Dhabi National Oil Company (ADNOC) has finalized a significant 15-year liquefied natural gas (LNG) supply agreement with Germany’s SEFE, marking a key step in the UAE’s strategy to enhance its role as a major energy supplier. This deal, which will commence in 2028, involves the delivery of 1 million metric tons of LNG annually and transforms a preliminary agreement signed in March into a definitive contract.
The LNG will be sourced from ADNOC’s innovative Ruwais LNG facility, currently under construction in Al Ruwais Industrial City, Abu Dhabi. This project is poised to be one of the lowest-carbon intensity LNG plants globally, utilizing clean power and advanced technologies to minimize emissions.
This agreement reflects Europe’s ongoing reliance on fossil fuels as it navigates energy security challenges. Germany has recognized the critical role of natural gas in its energy landscape, particularly following disruptions in pipeline gas supplies from Russia after its invasion of Ukraine. As Germany aims to diversify its energy sources while transitioning to cleaner alternatives, this partnership with ADNOC is expected to play a pivotal role.
Fatema Al Nuaimi, Executive Vice President of Downstream Business Management at ADNOC, emphasized the importance of this agreement: “This LNG deal underscores ADNOC’s commitment as a reliable global energy provider. With gas accounting for nearly a quarter of Germany’s primary energy consumption, we are proud to support its efforts to enhance energy security and diversify supply.”
Frédéric Barnaud, CEO of SEFE Marketing & Trading, expressed enthusiasm for the partnership: “This agreement marks the beginning of a new chapter in our long-standing relationship with ADNOC. We look forward to collaborating on low-carbon energy developments and securing diversified energy supplies for Germany and Europe.”
The Ruwais LNG project is designed to significantly boost ADNOC’s LNG production capacity, addressing the growing global demand for natural gas. Once operational, it will more than double ADNOC’s capacity to approximately 15 million metric tons per annum.
As the world transitions towards cleaner energy solutions, this agreement not only strengthens bilateral ties between the UAE and Germany but also reinforces commitments to decarbonization and climate action.
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