(MENAFN- The Arabian Post)

Abu Dhabi National Oil Company's subsidiary ADNOC Gas Plc has signed a three‐year agreement to deliver 0.7 million tonnes of liquefied natural gas to Germany's state‐owned SEFE Securing Energy for Europe. Valued at AED 1.5 billion, the contract begins this summer and sees LNG shipped from the Das Island facility.

The arrangement builds upon a long‐term contract established last year between the two companies, offering SEFE greater flexibility to dispatch the volumes across multiple European markets. For ADNOC Gas, it underscores ambitions to broaden its global LNG footprint and strengthen ties with European partners.

Das Island's liquefaction plant, with a 6 million tonnes per annum capacity and over 3,500 cargoes dispatched since 1977, remains a key strategic asset in ADNOC Gas's export network.

The step aligns with SEFE's drive to diversify energy sources following the loss of the majority of its Russian gas imports in 2022. With an annual obligation of around 200 TWh across Germany, the UK and other markets, the company has pursued deals with Azerbaijan's SOCAR and US firms such as Venture Global.

The new agreement also resonates with diplomatic frameworks like the UAE‐Germany Energy Security and Industry Accelerator, signed in 2022, and a 2024 joint declaration with Baden‐Württemberg, enhancing the energy security and transition agenda.

Fatema Al Nuaimi, CEO of ADNOC Gas, stressed the deal's importance for bolstering Europe's supply security and underlined the company's evolution as a reliable global energy provider, signalling continued strategic progress.

SEFE's Chief Commercial Officer Frédéric Barnaud noted that the medium‐term contract complements the prior long‐term deal with ADNOC, reinforcing their two‐decade‐long partnership and enhancing SEFE's flexible supply model amid market volatility.

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Analysts view the contract as mutually beneficial: for Europe, it secures diversified gas supplies beyond pipeline dependency; for ADNOC Gas, it consolidates its role in the global LNG market ahead of its Ruwais LNG project, which aims to double its export capacity by 2028.

Europe's LNG demand remains structurally high as governments accelerate energy transition strategies and phase out coal and Russian pipeline imports. Germany has fast‐tracked floating regasification terminals to absorb increasing LNG volumes, aligning infrastructure with new supply agreements.

With the first shipments slated for summer and SEFE retaining destination choice, market observers expect swift integration into Europe's gas supply chain. ADNOC Gas is concurrently investing in technology upgrades, including AI‐powered optimisation at Das Island, building on its reputation for operational efficiency.

As Germany speeds its transition away from Russian energy, this contract signifies more than a commercial transaction: it marks a strategic pivot in global LNG trade, with the UAE emerging as an alternative anchor supplier to European markets.

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