ADNOC signs gas trade deal with India

NEW DELHI, January 31, 2024 – Gail has signed a 10-year LNG purchase agreement with Emirati NOC ADNOC, India’s largest gas company announced on Monday.

Under the agreement with ADNOC’s subsidiary ADNOC Gas, 500,000 tonnes per year of LNG will be delivered to India starting in 2026.

The deal follows the two companies signing an MoU in November 2022 to collaborate on opportunities in LNG.

Cost of the deal was not disclosed.

India is looking to increase the share of natural gas as part of its energy consumption to 15%.

Gail currently owns and operates more than 16,000 kilometres of natural gas pipelines and holds a 70% market share of India’s gas distribution.

In 2023, ADNOC signed LNG supply deals valued at between USD 9.4 billion and USD 12 billion with large players such as PetroChina International, Japan Petroleum Exploration Company, Japanese energy player Jera, French energy giant TotalEnergies and India Oil Corporation.

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