EnBW said on Monday the SPA converts the previous heads of agreement between the two firms into a definitive agreement.
The contract was signed by Rashid Al Mazrouei from Adnoc and EnBW COO Peter Heydecker during DMG’s World LNG Summit & Awards which took place last week in in Berlin.
Under the deal, EnBW will buy 0.6 million metric tons per annum of LNG (0.8 billion cubic meters per annum) from Adnoc for a period of 15 years.
The deliveries, which will be sourced from the Ruwais LNG plant, are expected to start in 2028, upon commencement of the facility’s commercial operations.
Second Ruwais LNG supply deal with German firm
This is the third definitive agreement for the supply of LNG from the 9.6 mtpa Ruwais LNG project and the second deal with a German firm.
Last month, Adnoc signed the first SPA with German gas importer Securing Energy for Europe (SEFE).
Under the 15-year deal, Adnoc will supply 1 million tonnes per annum of LNG to SEFE Marketing and Trading Singapore, a subsidiary of SEFE.
Earlier this month, Adnoc signed a 15-year SPA with Malaysia’s Petronas to supply the latter with 1 million tonnes per annum of LNG.
To date, over 8 mtpa of the LNG project’s production capacity has been committed to international customers through long-term agreements, Adnoc said after the Petronas announcement.
Adnoc boosting LNG business
In June, Adnoc announced the final investment decision on the Ruwais project and the EPC award to a joint venture led by France’s Technip Energies.
Prior to that, Adnoc issued in March this year a limited notice to proceed for early engineering, procurement, and construction activities to the joint venture.
Besides this EPC deal, Adnoc Gas also awarded US energy services firm Baker Hughes a contract for the LNG export terminal.
Baker Hughes will provide two electric liquefaction systems (e-LNG) for the Ruwais LNG project.
Moreover, BP, Mitsui & Co., Shell, and TotalEnergies agreed to buy a 10 percent equity stake in Adnoc’s LNG export terminal.
Adnoc will retain a 60 percent majority stake and sell it to its unit Adnoc Gas for about $5 billion.
The LNG project will more than double Adnoc’s existing UAE LNG production capacity to around 15 mtpa, as the company builds its international LNG portfolio.
Adnoc currently owns a 70 percent stake in Adnoc LNG, which currently produces about 6 mtpa of LNG from its facilities on Das Island.
