ORLEN Signs First Long-Term Oil Supply Deal with Equinor

ORLEN Signs First Long-Term Oil Supply Deal with Equinor

William Faulkner 01-Sep-2025

ORLEN partners with Equinor for six million tonnes of crude, enhancing regional energy security while fully eliminating Russian oil dependence.

ORLEN has entered into a landmark supply contract with Equinor for more than six million tonnes of crude oil sourced from the Johan Sverdrup field, located on the Norwegian Continental Shelf. This agreement, covering around 15% of the ORLEN Group’s annual oil demand, marks the first long-term arrangement between the two companies for crude oil supply. Deliveries are set to commence in September and will continue for one year under the current contract terms.

Oil shipments will depart from the Norwegian port of Mongstad, with possible allocation to ORLEN’s refineries in Poland, Lithuania, and the Czech Republic. The Johan Sverdrup field is one of the largest oil fields on the Norwegian Continental Shelf and stands out for its environmental performance. Crude production there generates 80–90% fewer CO2 emissions than the global industry average, thanks to electrified platforms powered mainly by renewable energy from shore.

ORLEN CEO and President of the Management Board, Ireneusz Fafara, emphasized the strategic importance of this deal. He stated that the company has successfully eliminated Russian crude from all of its refineries, a step made possible through systematic diversification of supply sources. Fafara highlighted that this new agreement with Equinor secures access to high-quality crude produced with notable efficiency and reduced emissions. He further noted that Johan Sverdrup alone accounts for one-third of Norway’s total oil production, strengthening both supply stability and regional energy security.

From Equinor’s perspective, the partnership expansion reflects deepening collaboration with ORLEN. Irene Rummelhoff, Executive Vice President for Marketing, Midstream and Processing at Equinor, remarked that the two companies already share a strong relationship encompassing oil and gas production on the Norwegian Continental Shelf, a decade-long natural gas supply contract for Poland, and cooperation in low-carbon solutions such as carbon capture and storage. The new crude oil agreement, she explained, not only reinforces energy security in Poland but also aligns with both companies’ commitment to lowering greenhouse gas emissions.

This milestone comes after ORLEN’s final contract for Russian oil ended in June, formally closing a chapter of reliance on Russian crude. As a result, ORLEN and the broader region are no longer bound by supply obligations to Russian entities. Presently, ORLEN sources its feedstock from a diverse range of suppliers spanning the Middle East, the Persian Gulf, the North Sea, Africa, and the Americas. In the first half of 2025, ORLEN’s refineries processed 9.8 million tonnes of crude oil, reflecting a 5% increase compared to the same period last year.

Through this deal, ORLEN reinforces its strategy of supply diversification, while strengthening both national and regional energy security with sustainable and efficient crude oil imports.

Tags:

Crude Oil

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