ADNOC has signed a sales and purchase agreement with Japanese utility Osaka Gas under which it will supply up to 800,000 tonnes per year (tpy) of LNG over 15 years, ADNOC announced on Thursday.
LNG will be primarily sourced from ADNOC’s lower-carbon Ruwais LNG facility, currently under development and expected to begin commercial operations in 2028. Cargoes will be shipped to the destination ports of Osaka Gas and its Singapore-based subsidiary, Osaka Gas Energy Supply and Trading.
“This agreement with Osaka Gas reinforces our long-standing energy partnership with Japan and supports our strategy to expand our global LNG footprint,” said Rashid Khalfan Al Mazrouei, ADNOC’s senior vice-president of marketing.
The deal converts a heads of agreement signed by ADNOC and Osaka Gas in August 2024 and is the first long-term supply arrangement between the companies.
ADNOC reached an FID on the Ruwais LNG project in June and swiftly awarded USD 5.5 billion in EPC contracts to a joint venture of Technip Energies with JCG Corporation and NMDC Energy.
To date, ADNOC has committed around 8 million tpy of the Ruwais LNG project’s 9.6 million tpy production capacity under long-term arrangements with international buyers including Germany’s EnBW and SEFE Securing Energy for Europe and China’s ENN Natural Gas.
Source: theenergyyear.com