Ørsted enters into agreement with Equinor on Norwegian gas for Denmark
Ørsted and Equinor have just signed an agreement under which Equinor will supply Norwegian gas to Denmark via Baltic Pipe. The agreement covers the period from 1 January 2023 to 1 April 2024, and the total volumes of gas supplied during the period will be approx. 8 TWh, corresponding to roughly a quarter of the expected total Danish gas consumption.
The completion of the Baltic Pipe gas pipeline has enabled Ørsted to buy gas from the Norwegian gas fields, as the gas pipeline connects the Norwegian gas pipe system to Denmark.
Søren Thygesen Blad, Head of Gas Portfolio Management in Ørsted, says:
“We’re pleased to have entered into this agreement with Equinor, which ensures a stable supply of Norwegian gas to Denmark via Baltic Pipe during the period when the Tyra field isn’t supplying gas to Denmark. With this agreement, we’ll have more than enough gas to meet the gas demand of our customers for the coming and next winter, enabling us to stock up our Danish gas storage facilities over the summer.”
With this agreement and the production from the South Arne field and from biogas, Ørsted has more than covered the consumption of its own customers, which are business customers in Denmark and Sweden. The agreement strengthens the security of supply in Denmark while also replacing the gas volumes that Ørsted would otherwise need to buy on a volatile European gas market in the period when the Tyra field is not supplying gas to Denmark.
The Ørsted vision is a world that runs entirely on green energy. Ørsted develops, constructs, and operates offshore and onshore wind farms, solar farms, energy storage facilities, renewable hydrogen and green fuels facilities, and bioenergy plants. Moreover, Ørsted provides energy products to its customers. Ørsted is the only energy company in the world with a science-based net-zero emissions target as validated by the Science Based Targets initiative (SBTi), and Ørsted aims to deliver a net-positive biodiversity impact from all new renewable energy projects it commissions from 2030 at the latest. Ørsted ranks as the world’s most sustainable energy company in Corporate Knights’ 2022 index of the Global 100 most sustainable corporations in the world and is recognised on the CDP Climate Change A List as a global leader on climate action. Headquartered in Denmark, Ørsted employs 7,292 people. Ørsted’s shares are listed on Nasdaq Copenhagen (Orsted). In 2021, the company generated revenue of DKK 77.7 billion (EUR 10.4 billion). Visit orsted.com or follow us on Facebook, LinkedIn, Instagram, and Twitter.