Adnoc Signs Key LNG Supply Deal with India

Abu Dhabi National Oil Company (Adnoc) has signed its third LNG supply deal with Indian Oil Corporation (IOC) to deliver one million tonnes of LNG annually for 15 years. This agreement follows previous deals with other Indian companies and underscores the strengthening energy partnership between India and the UAE.

Abu Dhabi National Oil Company (Adnoc) will supply one million tonnes per annum of liquefied natural gas to Indian Oil Corporation (IOC) under a newly signed agreement, marking the third such deal between the two entities over the past year.

Adnoc's Ruwais NG project will handle the LNG supply for a duration of 15 years, as confirmed by the Abu Dhabi media office. The latest agreement complements an existing deal made in July last year, where Adnoc signed an agreement with IOC for up to 1.2 million tonnes of LNG annually, valued between USD 7 billion to USD 9 billion over a 14-year term.

The deal was signed during Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi's visit to India, emphasizing the importance of long-term LNG contracts in stabilizing the volatile spot LNG market. Additionally, Adnoc and Indian Strategic Petroleum Reserves Ltd. (ISPRL) are exploring further collaboration in crude storage in India, building upon Adnoc's existing storage facility at ISPRL's Mangalore Cavern.

(With inputs from agencies.)