France, UAE sign strategic energy pact
France has entered a strategic energy cooperation agreement with UAE aimed at supporting co-sponsored energy investments and collaborations between energy players in both countries, the French ministry of economy and finance said July 18.
The UAE agreement was announced on a trade visit to France yesterday by UAE's president Sheikh Mohamed bin Zayed Al Nahyan. During the trade visit, the UAE delegation also announced a cooperation deal between state-owned ADNOC and France's TotalEnergies aimed at shoring up energy supplies.
In addition, joint venture called NT Energies focused on the energy transition will be established by France's Technip Energies and UAE's National Petroleum Construction Co.
Paris says the agreement contemplates a stable long-term cooperation framework between the UAE and France, that would "pave the way" for new industrial contracts and joint investments. It also mentions the possibility of setting up a bilateral investment fund to finance "green projects".
It comes as French energy minister Agnes Pannier-Runacher announced the launch of a temporary floating LNG project in Le Havre Port, aimed at boosting France's LNG import capacity and soothing the impact of reduced gas supplies from Russia.
France typically gets around 17% of its gas supply from Russia, but ceased to receive piped deliveries from Gazprom in mid-June, French news agency AA said, citing grid network GRTGaz. Paris previously discussed energy security from a European standpoint in March in talks with Saudi Arabia, UAE and Qatar.
Bruno Le Maire, French minister of economy, finance, and industrial and digital sovereignty, said: "The agreement we are signing with the United Arab Emirates has a double strategic importance: it allows us to face the pressing challenges of energy security in the short term, while preparing for a low-carbon future."
Agnès Pannier-Runacher, French minister of energy transition, added: “This agreement seals a deepening of energy cooperation between France and the United Arab Emirates. This is an important step for securing our supplies, but also for creating industrial partnerships and working together towards a carbon-free energy model."