Uniper enters into LNG deal with Woodside trading unit

German utility Uniper SE signed a long-term deal with Woodside Energy Group Ltd. to bring in more cargoes of liquefied natural gas to energy-starved Europe.

The deal between Uniper and Woodside equates to 1 billion cubic meters of gas per year. That’s about a month of Russian supplies through Nord Stream at the curtailed levels Germany saw before the halt — one-fifth of the link’s normal capacity. Woodside will supply LNG from its global portfolio into Europe, including Germany.

Uniper, which used to be a big buyer of Russian gas, said it struck an agreement with a trading unit of the Australian energy giant to buy as many as 12 LNG cargoes a year. The supplies will start in January and are possible up to 2039.

While not the biggest LNG deal for Europe this year, it’s welcome news for the market after Russia’s decision to keep the crucial Nord Stream pipeline shut indefinitely. Russia’s move sent gas and electricity prices surging on Monday, with European governments racing to stave off an energy catastrophe this winter.

Germany, which currently receives LNG through neighbors with terminals to import the fuel, is racing to start its own facilities this winter and next. It announced that it will charter an additional floating LNG terminal — beyond the four it’s already installing to try to replace Russian flows.