ADNOC signs 15-Year deal with German operator

ADNOC has announced the signing of a third Sales and Purchase Agreement for its lower-carbon Ruwais Liquefied Natural Gas project with EnBW Energie Baden-Württemberg AG, one of Germany's largest energy infrastructure operators.

The 15-year agreement will supply 0.6 million tonnes per annum (mtpa) of LNG, marking the conversion of a previous Heads of Agreement into a definitive contract.

The LNG will be sourced from the Ruwais LNG project, currently under development at Al Ruwais Industrial City in Abu Dhabi, with deliveries scheduled to begin in 2028 upon the start of commercial operations. This deal brings the total committed capacity of the project to over 8 mtpa out of its 9.6 mtpa production capacity, with long-term agreements already in place.

This agreement follows ADNOC’s earlier deal with SEFE Marketing and Trading Singapore, a subsidiary of Germany's SEFE Securing Energy for Europe GmbH, signed in November 2024. It is ADNOC’s second SPA with a German company, further solidifying its growing relationship with Germany in the energy sector.

Fatema Al Nuaimi, ADNOC Executive Vice President of Downstream Business Management, emphasised that the partnership underscores ADNOC’s commitment to sustainability, energy security, and decarbonization efforts. By providing lower-carbon LNG to EnBW, the deal supports the UAE’s energy transition and strengthens its role in the global energy market.

The agreement also builds on the UAE-Germany Energy Security and Industry Accelerator (ESIA) agreement signed in 2022 and advances the Joint Declaration of Intent for sustainable energy cooperation, signed earlier this year between the UAE’s Ministry of Industry and Advanced Technology and Germany’s state of Baden-Württemberg.

ADNOC Gas also announced plans to acquire ADNOC’s 60% stake in the Ruwais LNG project in 2028, further boosting its LNG production capacity. The project, with a combined capacity of 9.6 mtpa, is set to more than double ADNOC Gas’ LNG production, reaching approximately 15 mtpa upon completion.