Norwegian state oil company Equinor ASA announced on Tuesday that it had signed a long-term gas supply contract in a €50 billion deal with Germany's state-owned energy company SEFE (Securing Energy for Europe).
As part of the agreement, Equinor will supply Germany with 10 billion cubic meters of natural gas per year from January 2024 until 2034, one-third of Germany's industrial demand. The contract includes a provision for a five-year extension, allowing for a total supply of 29 billion cubic meters. Furthermore, the two companies have also reached a memorandum of understanding that covers the supply of hydrogen starting in 2029.
"This is a response to Europe's need for long-term, reliable supply of energy and a viable route to decarbonization at scale," Equinor's CEO Anders Opedal noted.
