Abu Dhabi, UAE – ADNOC Gas PLC signed a strategic sales and purchase agreement with India’s Hindustan Petroleum Corporation during the working visit of His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, to India.
The agreement aims to supply approximately 0.5 million tons per annum of liquefied natural gas (LNG) over 10 years.
And the total value will range from AED 9.18 billion to AED 11 billion (US$2.5 billion to US$3 billion).
The agreement underscores ADNOC’s pivotal role as a reliable supplier to the rapidly growing Asian markets.
Reliable supply
It also reinforces the strategic energy partnership between the UAE and India.
Fatima Al Nuaimi, CEO of ADNOC, said: “We are delighted with this long-term agreement,
which reflects the growing partnership between the UAE and India, ADNOC’s commitment to providing reliable LNG supplies,
and our support for India’s ambition to increase the share of gas in its energy mix to 15% by 2030.”
Under the agreement, the total value of ADNOC’s contracts rises to AED 73.45 billion (US$20 billion), with India being the company’s largest customer.
India is a key market for the company’s liquefied natural gas (LNG) strategy.
The gas will be supplied from the Das Island LNG plant, which has a production capacity of 6 million tons per annum.
Expanding the customer base
Since commencing operations, the plant has exported more than 3,500 cargoes to various global markets.
The agreement aligns with ADNOC’s strategy to expand its customer base and strengthen its presence in India and other key Asian markets.
It follows a series of long-term LNG supply agreements over the past three years.
These agreements had contracts of up to 14 years. This reflects the company’s position as a reliable global supplier of a low-emission product to growing markets.
And this step underscores the continued strengthening of economic and strategic partnerships between the UAE and India, particularly in the energy sector.
This also supports global demand for LNG and helps achieve sustainable development for both countries.
