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German gas importer Securing Energy for Europe (SEFE) has signed a heads of agreement to buy LNG from Argentina’s Southern Energy, owned by Pan American Energy, YPF, Pampa Energia, Harbour Energy, and Golar LNG.
Under the agreement, SEFE will purchase up to two million tonnes per annum (mtpa) of LNG over eight years on a free on board (FOB) basis, with deliveries scheduled to begin in late 2027.
SEFE said in a statement that the agreement is contingent on the negotiation of a definitive sales and purchase agreement between the two firms.
Moreover, once concluded, this would be Argentina’s first long-term LNG supply contract, according to SEFE.
Frédéric Barnaud, SEFE CCO, said the company’s first LNG partnership with a South American supplier “not only contributes to the geographic diversification of our portfolio, but also strengthens Europe’s energy security.”
“We are pleased to support Argentina on its path to becoming a global LNG exporter. This also provides SEFE with a welcome opportunity to continue its collaboration with Hilli Episeyo’s team as it moves from Cameroon to Argentina,” he said.
SEFE offtakes LNG from Golar LNG’s Hilli Episeyo under a long-term deal.
Two FLNGs
SEFE noted that Southern Energy, founded in 2024, is launching Argentina’s first large-scale LNG export venture, comprising two floating LNG terminals (FLNGs) with a combined capacity of about six mtpa.
The first FLNG, Hilli Episeyo, will produce 2.45 mtpa from the end of 2027, while the second, MK II, will add 3.5 mtpa from late 2028.
Both FLNG units, chartered by Southern Energy from Golar LNG, one of its shareholders, will be deployed at Golfo San Matías, Province of Río Negro, Argentina, for a 20-year term.
Floating LNG player Golar LNG announced in October that all conditions precedent and customary closing conditions in connection with the 20-year charter of its 3.5 mtpa MKII FLNG to Southern Energy have been satisfied.
This followed the execution of definitive agreements announced in May and the final investment decision announced on August 6, 2025.
Southern Energy’s shareholders comprise Pan American Energy with a 30 percent stake, YPF with 25 percent, Pampa Energia with 20 percent, Harbour Energy with 15 percent), while Golar LNG has a 10 percent stake.
