Germany locks LNG supplies for two FRSUs

Germany has signed a memorandum of understanding with its top utilities to ensure the supply of liquefied natural gas (LNG) for the two floating storage and regasification units (FSRUs).

Under the deal with Uniper, RWE and EnBW subsidiary VNG, the country’s first two FSRU-based LNG import terminals in Wilhelmshaven and Brunsbuettel will be fully supplied from their expected operation launch by the end of this year until March 2024.

Germany is making significant headway in weaning itself from Russian fossil fuel imports, and by the end of the year, it might be essentially independent of the country’s coal and oil. Natural gas supply poses the most difficult issue, and it will likely take until mid-2024 for Germany to be able to forgo deliveries from Russia’s Gazprom, which is the majority owner of the Nord Stream 1 pipeline that currently operates at 20% capacity.