ADNOC signs LNG supply deal with IndianOil for 2028 supply

Abu Dhabi National Oil Company (ADNOC) hassigned a Heads of Agreement with Indian Oil Corporation (IndianOil) for thesupply of one million tonnes per annum of liquefied natural gas (LNG).

Under terms of the deal, ADNOC will supplyIndianOil with LNG from its Ruwais LNG project, which is currently underdevelopment in Al Ruwais Industrial City, Abu Dhabi.

The LNG produced at the site for IndianOilwill be shipped to destination ports in India

Commercial operations at the plant areexpected to commence in 2028 and the plant will have a capacity of 9.6 milliontonnes per annum, with two liquefaction trains with a capacity of 4.8 milliontonnes per annum.

It is thought that the plant will more thandouble ADNOC’s currently LNG production.

Rashid Khalfan Al Mazrouei, SeniorVice-President of Marketing at ADNOC, said, “India is a strategic partner ofthe UAE. This agreement underscores ADNOC’s commitment to delivering secure,lower-carbon energy to support the country’s energy security.”

He also noted that the agreementhighlighted confidence in the Ruwais LNG project.

By 2029, IndianOil is expected to becomeADNOC’s biggest LNG customer, with a total offtake of 2.2 million tonnes perannum. This is made up from the offtake of 1.2 million tonnes per annum fromDas Island and the Ruwais LNG deal.

The agreement with IndianOil is one ofseveral long-term LNG commitments ADNOC has signed with partners for RuwaisLNG. Over 70% of the project’s capacity has already been preliminary soldthrough the deals.

Source: gasworld