No intention: Uniper won’t drop Woodside

European utility Uniper has responded to claims it would drop Woodside Energy as a supplier, telling Business News it had no intention of doing so.

Reuters reported on Friday that Uniper could use swap arrangements to procure gas more quickly in the event of a shortage in Europe.

That led to claims Uniper was preparing to end its deal with Woodside.

But a spokesperson said this was not the case. 

"Woodside is a very important counterparty for Uniper and will continue to be so," the spokesperson said.

"Therefore there is no intention whatsoever to step out of this long term relationship."

The company has confirmed it could use swap deals to shift gas volumes originating with Woodside, reducing transit times.

The swap deals mean US cargoes in the Atlantic headed to Asian customers would be redirected to Europe, while deliveries intended for Uniper would replace them.

A 2021 deal increased the amount of gas Woodside was to supply to Uniper to be 1 million tonnes annually, rising again to 2mtpa in 2026.

That will include gas from the Scarborough development.

Uniper has hit trouble in recent months as gas supplies tighten due to the conflict in Ukraine, with a big dispute with Russia’s GazProm.

The German government reportedly stepped in to bailout the company in July.