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Home Sector Energy ADNOC, SEFE ink 15-year purchase agreement for Ruwais LNG project

ADNOC, SEFE ink 15-year purchase agreement for Ruwais LNG project

The LNG will primarily come from the Ruwais LNG project, with deliveries expected to start in 2028
ADNOC, SEFE ink 15-year purchase agreement for Ruwais LNG project
To date, ADNOC has committed over seven million tonnes per annum of Ruwais LNG project’s production capacity to international customers through long-term agreements (Image: ADNOC)

During ADIPEC 2024, ADNOC announced that it signed with SEFE the first long-term sales and purchase agreement for the lower-carbon Ruwais liquefied natural gas (LNG) project, which is currently under development in Al Ruwais Industrial City, Abu Dhabi. The agreement converts the previous heads of agreement between ADNOC and SEFE announced in March into a definitive agreement.

“Natural gas accounts for over a quarter of Germany’s energy supply and we are very pleased to support the country’s energy security through this landmark agreement with SEFE for the lower-carbon Ruwais LNG project,” stated Fatema Al Nuaimi, executive vice president of downstream business management at ADNOC.

Deliveries to start in 2028

Under the 15-year purchase agreement, ADNOC will provide SEFE Marketing and Trading Singapore, a subsidiary of Germany’s SEFE Securing Energy for Europe GmbH, with 1 million tonnes per annum of LNG. The LNG will primarily come from the Ruwais LNG project, with deliveries expected to start in 2028 upon the commencement of its commercial operations.

To date, ADNOC has committed over seven million tonnes per annum of Ruwais LNG project’s production capacity to international customers through long-term agreements.

UAE-Germany energy security deal

The 15-year LNG purchase agreement between ADNOC and SEFE also builds on the UAE-Germany Energy Security and Industry Accelerator (ESIA), which the two countries signed in 2022. The ESIA aims to advance cooperation in energy security, decarbonization, and lower-carbon fuels.

“This partnership with ADNOC supports our efforts to responsibly diversify our energy sources, enhance security of energy supply for Germany and Europe and support our customers on their decarbonization journey. Furthermore, it is an important step for SEFE’s ambition to drive the energy transition and become a European energy major in the low-carbon economy,” stated Dr. Egbert Laege, CEO of SEFE.

Read: Official dates revealed for ADIPEC 2025 

Ruwais LNG plant

The Ruwais LNG plant will likely be the first LNG export facility in the MEA region to run on clean power. This will also make it one of the lowest-carbon-intensity LNG plants in the world.

The Ruwais LNG project will consist of two 4.8 million tonnes per annum LNG liquefaction trains with a total capacity of 9.6 million tonnes per annum. It will more than double ADNOC’s existing UAE LNG production capacity to around 15 million tonnes per annum. The facility will also leverage artificial intelligence and advanced technologies to enhance safety, minimize emissions, and drive efficiency.

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