- On Monday, Abu Dhabi National Oil Company (ADNOC) announced the signing of a 15-year agreement to provide 1 million metric tons per year of liquefied natural gas (LNG) to a subsidiary of Germany's state-owned Securing Energy for Europe (SEFE) According to ADNOC's statement, the LNG will be sourced from its Ruwais LNG project, with deliveries scheduled to commence in 2028.
- ADNOC has intensified its focus on natural gas, recognizing it as a transitional fuel amidst global efforts to reduce emissions and heightened competition for LNG post-Russia's invasion of Ukraine in February 2022. Ruwais is poised to significantly increase ADNOC's LNG production to approximately 15 million tons per annum from the current 6 million tons.
Why it matters
This agreement marks the second supply deal originating from Ruwais, following a similar 15-year arrangement inked with a Singapore-based subsidiary of China's ENN Natural Gas in December. ADNOC's recent deal also involves a Singapore subsidiary, SEFE Marketing & Trading Singapore Pte.
