On Wednesday, Adnoc revealed a 15-year sales and purchase agreement (SPA) with Indian Oil Corporation Ltd (IndianOil), India’s largest energy firm, to supply 1 million tonnes per year of liquefied natural gas (LNG) from Adnoc’s lower-carbon Ruwais LNG project.
This SPA finalizes a prior preliminary agreement, highlighting Adnoc’s expanding presence in the Asian LNG market and its commitment to being a dependable LNG supplier globally. The agreement allows LNG deliveries to any Indian port, supporting the nation’s energy demands and boosting security.
By 2029, IndianOil will become Adnoc’s top LNG client, receiving 2.2 mtpa in total, including 1.2 mtpa from Das Island and 1 mtpa from the Ruwais LNG project.
Rashid Khalfan Al Mazrouei, Adnoc’s Senior VP of Marketing, stated: “This long-term deal with IndianOil showcases the strong energy ties between the UAE and India. Through our Ruwais LNG Project, Adnoc will supply more lower-carbon gas to meet global demand and power industries and homes.”
The Ruwais LNG project, underway in Al Ruwais Industrial City, Abu Dhabi, will start commercial operations in 2028. Over 8 mtpa of its 9.6 mtpa capacity is already committed to international buyers, indicating strong demand.
The SPA reflects the success of the 2022 Comprehensive Economic Partnership Agreement (Cepa) between the UAE and India, enhancing trade and energy cooperation.
The Ruwais facility will be the first in the Middle East to operate on clean power, ranking among the world’s lowest-carbon LNG plants. It will use advanced technologies and AI for improved safety and sustainability.
In November 2024, Adnoc Gas announced plans to purchase Adnoc’s 60% share of the Ruwais LNG project by late 2028. Once complete, this project will double Adnoc Gas’s LNG capacity to 15 mtpa with two liquefaction trains.
