Mitsui Yet to Decide on ADNOC LNG Project Partnership Despite Nikkei Report
(Reuters) — Japan's Mitsui & Co. said on Tuesday nothing has been decided on an LNG project in the United Arab Emirates, after the Nikkei reported it was teaming up with Abu Dhabi National Oil Company (ADNOC) on it.
The Nikkei reported ADNOC would have a stake of around 60% and Mitsui 10% of the $7 billion LNG project at Ruwais, adding Mitsui's investment is estimated to be several tens of billions of yen.
Other oil majors Shell, BP and Total Energies are also expected to invest, the report said.
A Mitsui spokesperson said nothing had yet been decided when asked about the report. ADNOC, BP and Shell declined to comment. TotalEnergies did not immediately respond to a request for comment.
ADNOC has big ambitions in gas and LNG, which along with renewable energy and petrochemicals, it sees as pillars for its future growth.
Demand for natural gas soared as Europe scrambled to secure supplies to replace Russian gas in the wake of Moscow's invasion of Ukraine last year.
The planned Ruwais LNG project, to the west of Abu Dhabi city, will help ADNOC reach its goal of doubling its LNG production capacity. It currently has liquefaction capacity of about 6 million metric tons per annum at its Das Island facility.
The Ruwais plant will have electric-powered processing facilities and run on renewable and nuclear grid power, making it one of the lowest carbon intensity LNG facilities globally, ADNOC has said. It will have two 4.8 MTPA LNG liquefaction trains when completed.
ADNOC said in March it had issued a limited notice to proceed for early engineering, procurement and construction on the Ruwais LNG project to a consortium led by Technip Energies and including JGC Corporation and National Petroleum Construction Company. A final investment decision is expected this year.
ADNOC has since last year signed several LNG supply deals, including two for LNG from the Ruwais project, expected to begin commercial operations in 2028.
ADNOC has eyed acquisitions of foreign companies in part to help boost its gas portfolio.
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