ADNOC has signed a 15-year Gross sales and Buy Settlement with Indian Oil Company Ltd (IndianOil) for the availability of 1 million tonnes each year of liquefied pure fuel sourced from ADNOC’s Ruwais LNG venture.
The settlement converts a previous Heads of Settlement right into a definitive settlement and expands ADNOC’s world footprint throughout the Asian LNG market, reinforcing its position as a worldwide provider of LNG.
Below the phrases of the SPA, LNG cargoes will be delivered to any port throughout India, supporting the nation’s power wants and enhancing its power safety.
ADNOC, IndianOil seal LNG pact
By 2029, IndianOil is ready to grow to be ADNOC’s LNG buyer with a complete offtake of two.2 mtpa – comprising 1.2 mtpa from ADNOC’s Das Island operations and 1 mtpa from the Ruwais LNG venture.
Rashid Khalfan Al Mazrouei, ADNOC Senior Vice President, Advertising and marketing, mentioned: “This long-term settlement with IndianOil underscores the sturdy power relations between the UAE and India. Via our world-class Ruwais LNG Mission, ADNOC will proceed to offer extra lower-carbon fuel to satisfy rising world demand, gas industries and energy properties.”
ADNOC’s Ruwais LNG venture, at the moment below growth in Al Ruwais Industrial Metropolis, Abu Dhabi, is predicted to start business operations in 2028.
To this point, over 8 mtpa of the venture’s 9.6 mtpa manufacturing capability has been dedicated to worldwide prospects via long-term agreements, underscoring world demand for ADNOC’s lower-carbon LNG.
The SPA highlights the success of the Comprehensive Economic Partnership Agreement (CEPA) signed between the UAE and India in 2022, which continues to foster bilateral commerce and power cooperation.
The Ruwais LNG facility would be the first within the Center East to run on clear energy, positioning it among the many lowest-carbon depth LNG vegetation globally. It is going to leverage applied sciences, together with AI, to boost security, effectivity, and sustainability.
ADNOC Fuel introduced in November 2024 that it expects to accumulate ADNOC’s 60 per cent stake within the Ruwais LNG venture at value, within the second half of 2028.
Upon completion, the venture, comprising two 4.8 mtpa liquefaction trains with a mixed capability of 9.6 mtpa, will greater than double ADNOC Fuel’ operated LNG manufacturing capability to round 15 mtpa.