Oman LNG seals supply deal with Germany’s SEFE

State-owned producer Oman LNG has signed a deal to supply liquefied natural gas to German gas importer Securing Energy for Europe (SEFE).

Under the binding term sheet, Oman LNG will supply about 400,000 tonnes of LNG to SEFE, starting in 2026, according to Oman’s energy ministry.

This is Oman LNG’s first deal with a German firm and the contract is for a period of four years.

SEFE boosting LNG volumes

SEFE said in a statement later on Monday that the signing of the four-year deal for 0.58 bcm of LNG per year marks a “remarkable milestone” as SEFE becomes the first German firm to receive Omani LNG in the ever-growing partnership between Oman LNG and international energy firms.

“The partnership with Oman LNG diversifies SEFE’s portfolio and reinforces our efforts to continue to reliably provide Europe with energy,” SEFE’s CEO Egbert Laege, said.

Earlier this year, SEFE signed a 20-year deal to buy 2.25 million tonnes per annum of LNG from US exporter Venture Global LNG.

State-owned SEFE previously booked long-term capacity at Hanseatic Energy Hub’s planned Stade LNG import terminal in Germany.

Starting in 2027, SEFE, previously known as Gazprom Germania, plans to import at least 4 bcm per year of LNG via the terminal.

SEFE booked the capacity for 20 years and with future flexibility to switch to ammonia.

The firm also reportedly booked 3.5 bcm of regasification capacity at the Dunkirk LNG terminal in France.

In addition, commodity trader Trafigura said in December it would supply US LNG to SEFE.

9th supply deal for Oman LNG

This deal with SEFE is the 9th contract Oman LNG signed since December last year and follows the deal with China’s Unipec, a unit of state-owned energy giant Sinopec.

Oman LNG, in which the government of Oman holds 51 percent, also signed term sheets with Turkey’s Botas and its shareholders TotalEnergies, PTT, and Shell.

Also, Oman LNG signed key term sheets in December to supply LNG to Japan’s Jera, Mitsui, and Itochu.

The firm operates three LNG trains in Qalhat with a nameplate capacity of 10.4 mtpa sourcing gas from the central Oman gas field complex.

Due to debottlenecking, the company’s complex now has a production capacity of around 11.4 mtpa.

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