Adnoc Gas signs $450-550m LNG deal with PetroChina

Gulf Today, Staff Reporter

Adnoc Gas, a world-class integrated gas processing company, has announced an agreement, valued between $450 million (Dhs1.65 billion) and $550 million (Dhs2 billion), to supply Liquefied Natural Gas (LNG) to PetroChina International Company Limited (“PetroChina” or “PCI”), a subsidiary of PetroChina Company Limited, one of the leading oil and gas producers and distributors in China.

This agreement underscores Adnoc Gas’ growing global presence, particularly in the East and South Asian markets. Natural gas plays a crucial role as a transitional fuel, generating lower-carbon emissions compared to other fossil fuels, and Adnoc Gas is committed to ensuring reliable supply to its customers around the world.

Ahmed Mohamed Alebri, Chief Executive Officer of Adnoc Gas, said: “We are pleased to sign this LNG supply agreement with PCI, further strengthening our presence in one of the world’s fastest growing gas markets. China continues to be a key market for Adnoc Gas, and this agreement further reinforces our role as a major LNG supplier across East and South Asia, and beyond.”

LNG serves as an important raw material in industrial value chains and its versatility allows its application across a broad range of industries, fostering economic growth.

Commenting on the agreement, Wu Junli, Chairman of PCI, said: “Energy is an important area of collaboration between China and the UAE. We are delighted to partner with Adnoc Gas, a company committed to providing stable and reliable energy supply with low-carbon emissions. This agreement signifies an extension of the cooperation between our two companies and reaffirms PCI’s commitment to Adnoc Gas as our global partner.”

This agreement follows several significant international LNG sales agreements, including those with Japan Petroleum Exploration Co., Ltd. (JAPEX), TotalEnergies Gas and Power, and India Oil Corporation (IOCL), underscoring Adnoc Gas’ position as a global export partner of choice.

Adnoc Gas continues to leverage opportunities arising from Adnoc’s integrated gas masterplan, which links every part of the gas value chain in the UAE, ensuring a sustainable and economic supply of natural gas to meet local and international demand.

Adnoc Gas, listed on the ADX (ADX symbol: “ADNOCGAS” / ISIN: “AEE01195A234”), is a world-class, large-scale integrated gas processing company operating across the gas value chain, from receipt of raw gas feedstock from Adnoc through large, long-life operations for gas processing and fractionation to the sale of products to domestic and international customers. Adnoc Gas supplies approximately 60% of the UAE’s sales gas needs and supplies end-customers in over 20 countries.

PetroChina International Co., Ltd. (PCI) is a 100% owned subsidiary of PetroChina. As the international trading arm of PetroChina, PCI undertakes global commodities trading, development of overseas integrated oil and gas operation hubs comprising refining, storage, logistics and sales & marketing capabilities, as well as the management of oil terminals and storage facilities at China’s key international trading ports. With 40+ subsidiaries and branches in more than 20 countries, PCI has business coverage in all key oil and gas trading hubs and financial centres around the world.

Meanwhile,  Abu Dhabi Future Energy Company PJSC – Masdar has announced a partnership with Africa50, the pan-African infrastructure investment platform to identify, fast-track and scale clean energy projects across the continent. The UAE’s clean energy champion has signed a memorandum of understanding (MoU) with Africa50 which will work to bridge the infrastructure funding gap and mobilize public and private finance.

Signed by Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar and Alain Ebobissé, Chief Executive Officer of Africa50 on the sidelines of Africa Climate Summit, the first of four global climate summits ahead of COP28, the agreement will see both parties work collaboratively to catalyze sustainable development of the clean energy sector in Africa.

Masdar, one of the world’s largest clean energy companies and the largest in Africa, committed US$2 billion of equity as part of the UAE finance initiative, which was announced during Africa Climate Summit by Dr. Sultan Al Jaber, Chairman of Masdar and COP28 President-Designate. The initiative brings together public, private, and development capital from UAE institutions, notably from Abu Dhabi Fund for Development (ADFD), Etihad Credit Insurance (ECI), Masdar, and AMEA Power. Africa50 is expected to also join this initiative as a strategic partner.