ADNOC secures SPA for Ruwais LNG project
Published by Jessica Casey,
Editor
LNG Industry,
ADNOC has announced at ADIPEC the signing of the first long-term sales and purchase agreement (SPA) for the lower-carbon Ruwais LNG project, which is currently under development in Al Ruwais Industrial City, Abu Dhabi. The SPA converts the previous heads of agreement between ADNOC and SEFE announced in March into a definitive agreement.
The 15-year, 1 million tpy SPA was signed with SEFE Marketing and Trading Singapore Pte Ltd, a subsidiary of Germany’s SEFE Securing Energy for Europe GmbH. The LNG will primarily be sourced from the Ruwais LNG project, with deliveries expected to start in 2028 upon commencement of its commercial operations.
To date, over 7 million tpy of Ruwais LNG project’s production capacity has been committed to international customers through long-term agreements.
Fatema Al Nuaimi, Executive Vice President, Downstream Business Management at ADNOC, said: “Natural gas accounts for over a quarter of Germany’s energy supply and we are very pleased to support the country’s energy security through this landmark agreement with SEFE for the lower-carbon Ruwais LNG project. As natural gas demand continues to increase, ADNOC is ensuring greater access to lower-carbon gas to power homes, fuel industries, and keep people connected, and we will continue to reinforce our role as a reliable global supplier of natural gas.”
The SPA builds on the UAE-Germany Energy Security and Industry Accelerator (ESIA) signed by the UAE and Germany in 2022, which aims to advance cooperation in energy security, decarbonisation, and lower-carbon fuels.
Dr Egbert Laege, CEO of SEFE, added: “This partnership with ADNOC supports our efforts to responsibly diversify our energy sources, enhance security of energy supply for Germany and Europe and to support our customers on their decarbonisation journey. Furthermore, it is an important step for SEFE’s ambition to drive the energy transition and become a European energy major in the low-carbon economy.”
The Ruwais LNG plant is set to be the first LNG export facility in the Middle East and Africa region to run on clean power, making it one of the lowest-carbon intensity LNG plants in the world.
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/07112024/adnoc-secures-spa-for-ruwais-lng-project/
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