Saturday 18 Jan 2025
By
main news image

(Dec 5): Abu Dhabi National Oil Co (Adnoc) agreed to sell liquefied natural gas (LNG) to Malaysia’s Petronas for 15 years starting 2028, expanding the Middle East company’s efforts to become a major supplier of the fuel.

The agreement for one million tons a year converts a preliminary deal to a definitive sales agreement, Adnoc said in a statement. Adnoc will supply the fuel primarily from an LNG export facility it’s building in Ruwais near Abu Dhabi.

The deal follows a similar accord with Germany’s SEFE last month. The United Arab Emirates, and other Middle Eastern states, are ramping up gas projects as they see the fuel as a key bridge in the transition to cleaner energy. Adnoc is building the multibillion-dollar Ruwais LNG project and has taken stakes in export facilities in the US and Africa. Qatar is in the middle of its own massive LNG expansion.

Earlier this year, Shell plc, TotalEnergies SE, BP plc and Mitsui & Co signed agreements to take a 10% stake each in the Ruwais LNG plant. Adnoc will eventually transfer its 60% stake in the project to its unit Adnoc Gas plc.

The 4.8 million-ton-a-year Ruwais project will more than double Adnoc Gas’s existing operated LNG production capacity to around 15 million tons annually, according to the statement.

Uploaded by Chng Shear Lane

      Print
      Text Size
      Share