Abu dhabi: ADNOC announced on Tuesday the signing of a 15-year Sales and Purchase Agreement (SPA) with INPEX CORPORATION (INPEX), Japan's largest exploration and production company, for the supply of 1 million tonnes per annum (mtpa) of liquefied natural gas (LNG) from the Ruwais LNG project.
According to Emirates News Agency, the agreement was announced during a visit to Japan by Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, Managing Director and Group CEO of ADNOC, and Executive Chairman of XRG. Dr. Al Jaber is leading a delegation for meetings with senior Japanese government and business leaders to strengthen the UAE's longstanding energy partnership with Japan and build on six decades of trusted cooperation.
Nasser Al Muhairi, Acting CEO of ADNOC Downstream Industry, Marketing and Trading, and Chairman of Ruwais LNG, stated that the SPA with INPEX marks the first long-term LNG agreement following the launch of ADNOC and XRG's integrated global LNG marketing and trading platform. This agreement aims to provide more LNG molecules, greater market access, and enhanced commercial flexibility to customers. Al Muhairi emphasized that the agreement builds on ADNOC's energy partnership with Japan, advances the commercialization of Ruwais LNG, and reinforces strong market confidence in the project.
The agreement aligns with INPEX Vision 2035, announced in February 2025, which aims to strengthen INPEX's LNG portfolio and supply LNG more flexibly to complement its own projects. INPEX has been a long-standing upstream partner of ADNOC, holding participating interests in several of Abu Dhabi's offshore and onshore concessions.
The LNG will be sourced from the Ruwais LNG project, under development in Al Ruwais Industrial City, Abu Dhabi, and is scheduled to start commercial operations in 2028. The SPA marks a milestone in ADNOC's global LNG expansion strategy, reinforcing the company's position as a leading global supplier of lower-carbon LNG.
Currently, 90 percent of the Ruwais LNG project's 9.6 mtpa production capacity has been committed to international buyers across Asia and Europe through long-term arrangements. The Ruwais LNG plant will be the first in the Middle East and Africa to operate on clean power, making it one of the lowest-carbon intensity LNG plants globally. The facility will use artificial intelligence and the latest technologies to enhance safety, efficiency, and operational excellence.
ADNOC Gas announced in November 2024 that it expects to acquire ADNOC's 60 percent stake in the Ruwais LNG project at cost, estimated at around $5 billion, in 2028. Upon completion, the project, comprising two 4.8 mtpa liquefaction trains with a combined capacity of 9.6 mtpa, will more than double ADNOC Gas' existing operated LNG production capacity to around 15 mtpa.