Abu Dhabi’s ADNOC Gas signed a 14-year deal to supply liquefied natural gas to Indian Oil Corporation.
It will export of up to 1.2 million tonnes per annum of LNG to IndianOil. The agreement, signed by the two parties, is valued in the range of $7bn to $9bn over its 14-year term, and “signifies a major step forward in the partnership between the two industry leaders,” the company said.
This agreement converts the previous heads of agreement between the parties into a sales and purchase agreement.
The first deliveries are expected to begin in 2026.
The LNG will be supplied from ADNOC Gas’ Das Island liquefaction facility, which has a production capacity of up to 6 million tonnes per annum.
Das Island has shipped over 3,500 LNG cargoes worldwide since starting operations.
“This agreement strengthens our long-standing partnership with IndianOil and is a testament to the dynamic and robust energy ties between the UAE and India,” said ADNOC Gas chief executive officer, Fatema Al Nuaimi.
The latest agreement builds on ADNOC Gas’ strategy to expand its customer base after a series of LNG agreements signed over the past two years, the company noted.
These agreements, which range from 0.4 mtpa to 1.2 mtpa, are for periods ranging up to 14 years.
