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Uniper and Vermilion extend their partnership, securing locally produced German natural gas to enhance supply security, sustainability, and energy system resilience.
Uniper Global Commodities SE and Vermilion Energy Germany GmbH & Co. KG have agreed to extend their long-standing cooperation through a new two-year contract covering the supply of natural gas produced in Germany. Under the terms of the agreement, Vermilion will market its entire output of both low- and high-calorific natural gas from its German upstream operations to Uniper. As one of Germany’s largest energy utilities, Uniper will integrate these locally sourced volumes into its portfolio to ensure a stable and dependable supply of natural gas for industrial customers, municipalities, and households across the country.
The renewed agreement reinforces the strategic importance of domestic gas production in Germany’s evolving energy landscape. Vermilion Energy Germany, a subsidiary of Canada-based Vermilion Energy Inc., has been an established and reliable contributor to the German energy market for more than ten years. Since entering Germany in 2014, the company has steadily expanded its footprint through targeted acquisitions and cooperative partnerships. Today, Vermilion ranks among the most active onshore natural gas producers in Lower Saxony, holding the state’s largest exploration acreage portfolio and maintaining a strong track record in successfully developing and commissioning deep natural gas wells.
Vermilion’s operations play a crucial role in supporting Germany’s energy security by providing domestically produced natural gas with a comparatively low carbon intensity. In 2025 alone, the company’s German production is expected to reach approximately 2.4 billion kilowatt-hours of natural gas. This volume is sufficient to meet the full annual energy demand of around 220,000 households, highlighting the tangible contribution of local gas production to ensuring reliable supply, particularly during periods of geopolitical uncertainty and market volatility.
From Uniper’s perspective, the continuation of the partnership represents an important pillar of its broader strategy to diversify supply sources while prioritizing reliability, affordability, and sustainability. Carsten Poppinga, Chief Commercial Officer of Uniper SE, emphasized that the collaboration with Vermilion has been built on trust and mutual reliability for more than a decade. Extending this relationship sends a strong signal of stability to the German energy market at a time when secure energy supply remains a top priority. He noted that competitively priced, locally produced natural gas is an essential component of Uniper’s portfolio, helping the company fulfill its responsibility to support a secure, sustainable, and economically viable energy system during the ongoing energy transition.
Vermilion also underlined the broader benefits of domestic gas production. Jeffrey Lawrance Davies, Managing Director of Vermilion Energy Inc.’s Germany Business Unit, stated that the company is proud to support Germany’s energy needs with responsibly produced local resources. As long as natural gas continues to play a role in the national energy mix, he stressed that domestically produced gas should be favored over imports. Supplying German-produced gas to Uniper not only reduces carbon dioxide emissions compared with imported natural gas but also strengthens the resilience of the German energy system throughout the transition phase.
In addition to environmental advantages, Vermilion highlighted its commitment to stringent safety and environmental standards, as well as its contribution to regional economic development. Through ongoing investments and its Community Investment Program, the company creates lasting social and economic value in the regions where it operates, further reinforcing the role of domestic production as a responsible and sustainable component of Germany’s energy future.
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