Adnoc Gas pens $550 million LNG supply deal with PetroChina

Adnoc’s new gas and LNG unit, Adnoc Gas, has signed a deal to supply liquefied natural gas to a unit of state-owned PetroChina.

UAE’s Adnoc Gas said in a statement on Thursday the LNG supply deal with PetroChina International is worth between $450 million and $550 million.

The firm did not provide any additional information regarding the agreement.

“We are pleased to sign this LNG supply agreement with PCI, further strengthening our presence in one of the world’s fastest growing gas markets,” Ahmed Mohamed Alebri, CEO of Adnoc Gas, said in the statement.

“China continues to be a key market for Adnoc Gas, and this agreement further reinforces our role as a major LNG supplier across East and South Asia, and beyond,” he said.

Adnoc launched Adnoc Gas on January 1 as it looks to further expand its international presence.

Earlier this year, Adnoc Gas signed a three-year LNG supply deal with a unit of France’s TotalEnergies worth up to $1.2 billion.

After that, the firm signed a long-term deal worth up to $9 billion to supply LNG to India’s top state oil refiner Indian Oil, and it signed the most recent deal worth up to $550 million with Japan Petroleum Exploration (Japex).

Adnoc owns a 70 percent stake in Adnoc LNG, that currently produces about 6 mtpa of LNG from its facilities on Das Island.

Besides this terminal, Adnoc is also working on the second LNG export plant in Al Ruwais.

According to Adnoc, the LNG terminal would have two 4.8 mtpa LNG trains, boosting the company’s LNG production capacity by 9.6 Mtpa, as it looks to respond to the growing global demand for natural gas.

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