Norwegian Energy Giant Equinor Signs Multi-Year Natural Gas Supply Agreement with BASF
Norwegian state-owned energy giant Equinor has signed a multi-year natural gas supply agreement with BASF, a developer of a broad portfolio of component solutions for manufacturing consumer goods, which plans to use this gas for its needs in Europe.
With deliveries slated to start on October 1st, 2025, this long-term strategic agreement enables Equinor’s annual delivery of up to 23 terawatt hours (around 2 billion cubic meters) of natural gas over ten years, which will cover a substantial share of BASF’s natural gas needs in Europe. The Norwegian giant has been supplying gas and liquids to BASF for several years.
Strengthening Partnership and Reducing Carbon Footprint
Anders Opedal, Equinor’s President and Chief Executive Officer, commented: “This agreement further strengthens our partnership with BASF. Natural gas not only provides energy security to Europe but also critical feedstock to European industries. I am very happy that our gas also supports BASF’s efforts to reduce their carbon footprint. Gas from Norway comes with the lowest emissions from production and transportation.”
According to Equinor, natural gas is a key feedstock for European industries, especially in the production of chemicals and fertilisers. As BASF uses natural gas both as an energy source and as a raw material in the production of basic chemicals, the Norwegian state-owned player believes that this partnership will support the company’s strategy to diversify its energy and raw materials portfolio.
Commitment to Sustainability
Dirk Elvermann, BASF’s Chief Financial Officer and Chief Digital Officer, highlighted: “We are very happy to enter into this long-term partnership with Equinor for the reliable supply of low-carbon natural gas for BASF’s operations in Europe. Equinor is a trusted and valued partner. The supply agreement not only comes with competitive terms but also supports our sustainability targets.”
Given the rising energy demand, Equinor is actively working on augmenting its oil and gas arsenal, as illustrated by a final investment decision (FID) for the third phase of an offshore oil project in the Norwegian North Sea.