Germany’s Uniper Signs Long-Term Gas Import Deal with Norway’s Equinor
Uniper and Equinor Secure Germany’s Gas Supply
By Nora Buli and Christoph Steitz
STAVANGER, Norway/FRANKFURT, Aug 24 (Reuters) - Germany's Uniper has signed a deal to import more than 30 terawatt hours of gas a year from Equinor from 2027, the companies said on Monday, reinforcing Norway's position as the key supplier to Europe's biggest economy.
The deal, equivalent to around 2.8 billion cubic metres of natural gas per year, runs until the end of 2041, and equates to nearly 3% of Germany's annual gas imports.
Norway’s Role in Germany’s Energy Security
Norway supplied 44% of Germany's gas imports, according to network regulator Bundesnetzagentur, taking Russia's place as the largest supplier after Moscow ended most energy ties with Europe following its full-scale invasion of Ukraine.
Uniper’s Diversification Strategy
The contract with Equinor marks Uniper's latest effort to diversify its supplies and follows its agreement with Canada as companies seek to bolster energy security after shortages linked to the Iran war.
CEO Perspectives on the Deal
"For us it's really important that we rebuild our portfolio," Uniper CEO Michael Lewis told Reuters after signing the deal in Stavanger, Norway, adding the agreement could not come at a more important moment.
"When you look at the turbulence in the energy markets over the last few years, it's critical that we diversify our energy supplies. Different suppliers, different routes, whether that's pipeline or LNG," Lewis said.
Long-Term Gas Demand and Future Cooperation
LONG-TERM GAS DEMAND
Both Lewis and Equinor CEO Anders Opedal stressed the importance of Norwegian supply for European energy security.
Significance for European Industry
The agreement also sends a strong signal from European industry that Norwegian gas will remain in demand for years to come, Opedal told Reuters.
"This is the first contract that goes into the 2040s," he said.
Expansion into Lower-Emission Projects
The companies also said they would expand cooperation on lower-emission gas projects, highlighting the relatively low carbon intensity of Norwegian gas, although they did not provide further details.
Gas as a Transition Fuel
Lewis said gas would remain a necessary transition fuel as Germany seeks to phase out coal, arguing that increased gas use in the near term could lower emissions while supporting longer-term decarbonisation goals in combination with carbon capture technology.
Future Prospects for Uniper and Equinor
Sources previously told Reuters that Equinor is among the parties interested in state-owned Uniper, which Berlin is seeking to divest after rescuing the utility during Europe's energy crisis in 2022.
Opedal declined to comment when asked whether Equinor had expressed interest in the stake.
(Reporting by Christoph Steitz in Frankfurt and Nora Buli in Stavanger, editing by Thomas Seythal and Louise Heavens)
