UAE’s ADNOC Gas signs $3 billion LNG deal with India’s Hindustan Petroleum Corporation Limited.
ADNOC Gas announced on Monday the signing of a sales and purchase agreement valued between $2.5 and $3 billion for a period of ten years with India’s Hindustan Petroleum Corporation Limited (HPCL).
The agreement was announced during a visit to India by UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan, where he met with the Indian Prime Minister, Narendra Modi.
During the visit, His Excellency Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO and Vikas Kaushal, Chairman and Managing Director of Hindustan Petroleum Corporation Limited exchanged the signed contract, reiterating the importance of the growing relationship between ADNOC, its partners and customers in India.
Deal to export 0.5 million tons per annum of LNG
This agreement converts a previously signed Heads of Agreement between the two companies into a long-term SPA and is valued at approximately $2.5-3 billion over its duration, for the export of 0.5 million tons per annum (mtpa) of liquefied natural gas (LNG).
The milestone agreement represents a further step in strengthening the strategic partnership between the UAE and India, while reinforcing ADNOC Gas’ role as a reliable and trusted supplier of LNG to Asia’s fast-growing markets.
“We are pleased to sign this long-term LNG supply agreement with Hindustan Petroleum Corporation, which reflects the strong and growing energy partnership between the UAE and India. This agreement underscores ADNOC Gas’ commitment to delivering reliable LNG to meet global demand, while supporting India’s ambition to increase natural gas to 15 percent of its energy mix by 2030,” said Fatema Al Nuaimi, CEO of ADNOC Gas.
The deal brings the total value of contracts being supported and operated by ADNOC Gas to over $20 billion. India is now the UAE’s largest customer and a very important part of ADNOC Gas’ LNG strategy. The company’s growth is tied to the continued success of India.
Source: Economymiddleeast