Abu dhabi: ADNOC Gas plc and its subsidiaries have announced the signing of a Heads of Agreement with Hindustan Petroleum Corporation Limited (HPCL) for the supply of 0.5 million metric tonnes per annum (mmtpa) of liquefied natural gas (LNG) over a decade.
According to Emirates News Agency, this agreement highlights ADNOC Gas' expanding presence in the Asian LNG market, underscoring its role as a dependable global LNG supplier. The long-term contract strengthens ADNOC Gas' collaboration with key Indian companies, further supporting India's energy security. This builds upon recent agreements with Indian Oil Corporation and GAIL India Limited.
Fatema Al Nuaimi, Chief Executive Officer of ADNOC Gas, emphasized the significance of this deal, stating that it represents the third agreement with Indian entities within the past year. She noted that this milestone highlights the robust energy partnership between the UAE and India and ADNOC Gas' capability to meet the growing global LNG demand. The agreement aligns with India's goal to elevate natural gas to 15 percent of its primary energy mix by 2030.
The LNG for this agreement will be sourced from ADNOC Gas' Das Island liquefaction facility, known for its production capacity of 6 mmtpa. Das Island, one of the longest-operating LNG plants globally, has dispatched over 3,500 LNG cargoes worldwide since commencing operations. ADNOC Gas plays a vital role in ADNOC's strategy to boost natural gas production and expand its global LNG exports. Natural gas, as a transitional fuel, offers reduced carbon emissions compared to other fossil fuels and serves as an essential raw material in industrial value chains.