ADNOC, XRG and Masdar Sign German Deals in Potential $5.8bn Pipeline

Three UAE entities — ADNOC, XRG and Masdar — struck agreements with German counterparts during UAE President Sheikh Mohamed bin Zayed Al Nahyan's state visit to Germany, spanning energy and industry and setting up an investment pipeline that could exceed $5.8 billion (€5 billion).

The transactions reach across liquefied natural gas, natural gas, renewable power, advanced materials, artificial intelligence and industrial technology. They follow the UAE's stated intent to commit €40 billion ($46.4 billion) to Germany over the long term. That pledge provides the frame for the individual agreements announced during the visit.

LNG and the gas value chain

ADNOC and German utility RWE signed a Letter of Intent aimed at concluding as many as two long-term LNG sales agreements. Cargoes could serve Germany, other European markets and Asian buyers from the early 2030s. The document sets out intent rather than binding volumes.

ADNOC, XRG and Securing Energy for Europe — SEFE, the German state-owned energy company — agreed to examine cooperation across the natural gas and LNG value chain. The scope covers supply, infrastructure, logistics and portfolio optimization.

ADNOC is not new to the German market. It holds 1.6 million tonnes per annum of long-term LNG supply agreements there, volumes sufficient to cover more than 3.5 million German households. In 2023 it delivered the first Middle East LNG cargo to Germany. That base gives the new talks a starting point rather than a blank slate.

Offshore wind, batteries and industrial chains

Masdar and RWE signed an MoU to explore joint participation in future German offshore wind auctions. Masdar and investment firm Luxcara separately agreed to examine possible investments in offshore wind and battery storage projects in Germany and across wider Europe.

Industry agreements run alongside. TA'ZIZ and Covestro are advancing a feasibility study for a world-scale methylene diphenyl diisocyanate value chain at Ruwais. Covestro, Fertiglobe and MB Energy will explore low-carbon ammonia supply chains into Germany.

ADNOC also signed strategic collaboration agreements with Bosch Middle East, Siemens Energy and Siemens Industrial, covering advanced technology and artificial intelligence.

Building on an existing position

ADNOC, XRG and Masdar have already put more than €20 billion into Germany's energy and industrial sectors. XRG's €14 billion investment in Covestro and Masdar's stake in the Baltic Eagle offshore wind farm are part of that total.

For the UAE and the wider Gulf, the agreements tighten links to a major European economy and add routes for Gulf energy and capital to support European energy security and industrial activity.

The partnerships coincide with the launch of the UAE-Germany Investment Council, which is meant to bring governments, investors and companies together to find opportunities and speed up growth in priority sectors.