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Under the three-year supply agreement, Adnoc Gas will supply over 0.7 million tonnes of LNG to SEFE, with deliveries to begin in summer 2025.
SEFE stated in a press release that the agreement is valued at approximately $400 million over its three-year term.
According to SEFE, the LNG supplies will be delivered from Adnoc Gas’ Das Island liquefaction facility.
With a production capacity of six million tonnes per year, Das Island’s LNG plant has shipped over 3,500 LNG cargoes worldwide since starting operations in 1977.
The deal “reflects the ambitions of both Adnoc Gas and SEFE to expand their global footprint and strengthen their long-term relationships with key energy partners.”
Building LNG cooperation
Frederic Barnaud, CCO of SEFE, said that this new medium-term LNG contract builds on the long-term supply agreement with Adnoc that SEFE signed last year, “thereby adding another flexible source of LNG to our portfolio – to the benefit of both Europe’s security of supply and our global market trading activities.”
In November 2024, Adnoc signed a sales and purchase agreement with SEFE to supply the latter with LNG from its LNG terminal in Al Ruwais.
Moreover, the SPA converted the previous heads of agreement between Adnoc and SEFE announced in March the same year into a definitive agreement.
Under the 15-year deal, Adnoc will supply 1 mtpa of LNG to SEFE Marketing and Trading Singapore, a subsidiary of SEFE.
The LNG supplies will primarily be sourced from the Ruwais LNG project, with deliveries expected to start in 2028 upon the start of its commercial operations.
Second LNG deal this week
This is the second LNG supply deal for SEFE announced this week.
The company just signed a 20-year LNG supply contract with US LNG exporter Venture Global LNG for volumes from the CP2 project in Louisiana.
This deal amends the existing sales and purchase agreement signed by the companies in 2023, increasing the total volume of LNG purchased by SEFE from CP2 LNG to 3 mtpa.