Abu Dhabi National Oil Company (ADNOC) has signed a long-term heads of agreement with Osaka Gas for the delivery of up to 0.8 million metric tonnes per annum (mmtpa) of liquefied natural gas (LNG) from the Ruwais LNG project.
The LNG will primarily be sourced from ADNOC’s lower-carbon Ruwais LNG project, which is currently under development in Al Ruwais Industrial City, Abu Dhabi, and is expected to start commercial operations in 2028.
Under the agreement, LNG cargoes will be shipped to the destination ports of Osaka Gas and its Singapore-based subsidiary, Osaka Gas Energy Supply and Trading (OGEST).
The agreement with Osaka Gas is one of several long-term LNG sales commitments ADNOC has signed with international partners for Ruwais LNG, which take the long-term sales commitments to 70% of the project’s total production capacity.
The Ruwais LNG plant is set to be the first LNG export facility in the Middle East and Africa region to run on clean power, making it one of the lowest-carbon intensity LNG plants in the world.
The facility will leverage artificial intelligence and the latest technologies to enhance safety, minimize emissions and drive efficiency.
The Ruwais LNG project will consist of two 4.8mmtpa LNG liquefaction trains with a total capacity of 9.6mmtpa, more than doubling ADNOC’s existing UAE LNG production capacity to around 15mmtpa, as the company builds its international LNG portfolio.
To remind, in July 2024, Shell, BP, Mitsui and TotalEnergies have agreed to each take a 10% participating interest in the ADNOC’s Ruwais project.
“Osaka Gas is delighted to secure LNG from ADNOC, a reliable and responsible global energy supplier. This agreement will significantly enhance the stability of Osaka Gas’ LNG procurement. It will also strengthen the foundation of our stable energy supply to customers, transition to lower carbon energy, and acceleration towards our net zero target,” said Keiji Takemori, Osaka Gas Executive Vice President.
AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week