ADNOC Gas Inks 10-Year LNG Supply Deal with India’s GAIL
(P&GJ) — ADNOC Gas has secured a long-term agreement with GAIL India Limited to deliver up to 0.52 million metric tonnes per year of liquefied natural gas (LNG) beginning in 2026. The 10-year sales and purchase agreement (SPA), ADNOC’s first with GAIL, follows a preliminary deal made earlier this year.
The LNG will be sourced from ADNOC’s Das Island plant, one of the world’s longest-operating LNG facilities, where production has continued since 1977. The deal highlights ADNOC’s strategy to expand its role in the global gas market, where demand is forecasted to grow 15% over the next decade.
Rashid Khalfan Al Mazrouei, ADNOC Gas Senior Vice President of Marketing, stated that the agreement "strengthens ADNOC Gas' role as a reliable and responsible global natural gas provider," adding that ADNOC aims to increase LNG production capacity to capture demand across Asia.
GAIL, India’s leading gas distributor, sees the SPA as a key component in meeting India’s rising natural gas needs. "This SPA with ADNOC Gas is a crucial step," noted GAIL’s Sanjay Kumar, Director of Marketing. India ranks as the fourth-largest LNG importer globally, with growing interest in boosting natural gas’s share in its energy mix.
Looking ahead, ADNOC expects to acquire a 60% stake in the Ruwais LNG plant, set to start production in 2028, which will further increase ADNOC’s LNG output to over 15 million tonnes annually. Ruwais LNG, powered by clean grid electricity, will be the region's first LNG facility to leverage AI and advanced digital tech for enhanced efficiency and emissions reductions.
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