Trafigura Secures USD 1.5 Billion Loan to Support 150 TWh German Gas Supply Contract

en.Wedoany.com Reported - On October 29, commodities trader Trafigura signed a USD 1.5 billion, five-year syndicated loan agreement to support a new gas supply contract with German state-owned energy company SEFE. Under the arrangement, Trafigura will supply gas to SEFE for five consecutive years starting November 1, 2026, at an annual volume of 30 TWh, totaling approximately 150 TWh over the contract period, which runs through the end of October 2031.

The financing was arranged by a syndicate of nine banks, with KfW IPEX-Bank, a subsidiary of Germany's KfW development bank, serving as facility agent and export credit agency (ECA) coordinating agent. The loan benefits from partial coverage under the German federal government's Unconstrained Loan Guarantee Program (UFK), with the guarantee arrangement handled by German export credit agency Euler Hermes.

Participating banks include Commerzbank, DBS Bank London Branch, DZ Bank, JPMorgan, KfW IPEX-Bank, Lloyds Bank and OCBC Bank, among others. Both the financing term and the new gas supply contract have a duration of five years.

The new contract succeeds the four-year gas supply agreement previously in place between the two parties. The original contract expires at the end of October 2026 and provided for an annual supply volume of 23 TWh. The new agreement raises the annual volume to 30 TWh, an increase of 7 TWh per year, or approximately 30%.

Trafigura will source the contracted gas primarily from its global gas supply portfolio for delivery to SEFE. First deliveries are scheduled to begin on November 1, with SEFE responsible for procurement and supply to customers in Germany and Europe. The new contract adopts a five-year supply arrangement, with the German government's financing guarantee corresponding to the gas supply contract.