Published by Global Banking & Finance Review®
Posted on February 6, 2026
2 min readLast updated: February 6, 2026
Add as preferred source on GoogleRWE partners with ADNOC and Masdar to enhance LNG supplies and battery storage, supporting Germany's shift from Russian gas.
By Kirsti Knolle and Christoph Steitz
BERLIN/FRANKFURT, Feb 6 (Reuters) - RWE signed a provisional agreement on Friday with Abu Dhabi National Oil Company that Germany's top utility said could see it purchase LNG supplies for European markets, as Berlin pushes to diversify its energy partners.
German Chancellor Friedrich Merz is currently visiting countries in the Gulf region, hoping to find new energy sources and reduce his country's dependence on its current dominant suppliers, including the United States.
In addition to its business as a power producer, RWE, which counts Qatar as its single-biggest shareholder, is also an energy importer and trader in gas and LNG.
Under the framework agreement with ADNOC, RWE will explore the possibility of purchasing up to 1 million metric tons of LNG annually for up to 10 years for Germany and other European markets.
Germany has been shifting away from Russian gas since Moscow's 2022 invasion of Ukraine. Norway is now its biggest gas supplier. And the United States provides nearly all of its LNG.
But relations between Europe and Washington have been rattled by U.S. President Donald Trump's aggressive trade tactics, his wavering support for Ukraine, and his stated desire to take over Greenland, an autonomous territory of Denmark.
"I am very pleased about our strategic collaboration with ADNOC, which underscores our shared commitment to securing Europe's energy needs," RWE CEO Markus Krebber said.
"Our plans build on a successful and long-lasting partnership."
Separately, RWE reached a deal with Masdar, Abu Dhabi's state-owned renewable energy company, to jointly invest in up to 2 gigawatts of battery storage projects in Germany.
The Gulf region, with its vast resources and investment capacity, has become an increasingly important partner for Berlin.
Merz, who led talks in the United Arab Emirates after visiting Qatar on Thursday, is pushing to deepen ties with Gulf states with a particular focus on long-term cooperation in energy and technology.
Germany needs "such partnerships more than ever" as global politics shift, the chancellor said this week.
(Reporting by Kirsti Knolle and Christoph Steitz; Editing by Linda Pasquini and Joe Bavier)
Liquefied natural gas (LNG) is natural gas that has been cooled to a liquid state, making it easier to store and transport. It is primarily used for energy production.
Battery storage projects involve the use of batteries to store energy for later use, helping to balance supply and demand in energy systems, especially with renewable sources.
Renewable energy comes from natural sources that are replenished constantly, such as solar, wind, and hydroelectric power. It is considered more sustainable than fossil fuels.
Investment refers to the allocation of resources, usually money, in order to generate income or profit. It can involve various assets, including stocks, bonds, and real estate.
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