Abu Dhabi National Oil Company (Adnoc) recently announced a 15-year heads of agreement with EnBW Energie Baden-Württemberg AG (EnBW), a leading energy company in Germany, for the delivery of 0.6 million metric tonnes per annum (mmtpa) of liquefied natural gas (LNG). The LNG will primarily be sourced from Adnoc’s lower-carbon Ruwais LNG project, which is currently being developed in Al Ruwais Industrial City, Abu Dhabi. This project is set to be the first LNG export facility in the Middle East and Africa region to run on clean power and will utilize advanced technologies and artificial intelligence tools to reduce emissions and enhance efficiency.
This agreement with EnBW marks the third long-term LNG supply agreement from the Ruwais LNG project, with deliveries expected to commence in 2028 upon the start of commercial operations. Fatema Al Nuaimi, Adnoc executive vice president of downstream business management, highlighted the significance of the Ruwais LNG project in strengthening Adnoc’s position as a reliable global natural gas provider. She also emphasized how this agreement aligns with the UAE-Germany Energy Security and Industry Accelerator, which aims to enhance cooperation in energy security, decarbonization, and lower-carbon fuels.
Peter Heydecker, EnBW’s board member for sustainable generation infrastructure, expressed satisfaction at signing EnBW’s first LNG contract in the Middle East with Adnoc. He mentioned that this agreement is a vital step in diversifying EnBW’s procurement portfolio and establishing its LNG value chain. Furthermore, the experience gained from this partnership will contribute to EnBW’s goal of establishing an import structure for green gases in the future. The LNG agreement is conditional upon a final investment decision on the project, regulatory approvals, and the negotiation of a definitive sale and purchase agreement between the two companies.
Upon completion, the Ruwais LNG project, which includes two 4.8 mmtpa LNG liquefaction trains with a total capacity of 9.6 mmtpa, will more than double Adnoc’s LNG production capacity to approximately 15 mmtpa. This increase in production capacity will further solidify Adnoc’s position as a key player in the global LNG market. As the project continues to gain momentum, it underscores Adnoc’s commitment to providing sustainable and reliable natural gas supplies to meet the growing energy demands of various markets. This partnership with EnBW signifies a significant milestone in advancing cooperation between the UAE and Germany in the areas of energy security and decarbonization.
