ADNOC Gas Secures Five-Year LNG Supply Deal with TotalEnergies

SEATTLE (Oil Monster): ADNOC Gas has entered into a five-year supply agreement with French energy giant TotalEnergies, expanding its international LNG business. The deal covers deliveries of up to 1.6 million metric tons (mmt) of liquefied natural gas. Initial shipments under the contract are scheduled to commence this year.

The agreement reinforces the long-standing commercial relationship between the two companies. It will provide TotalEnergies with additional supply flexibility across its global LNG portfolio. The UAE's strategic position between major European and Asian energy markets offers an added advantage for international distribution.

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TotalEnergies President of Gas, Renewables and Power Stéphane Michel described the contract as a significant development in bilateral cooperation. In addition, he noted that the additional volumes would strengthen the company's position in global LNG markets.

ADNOC Gas CEO Fatema Al Nuaimi highlighted rising international demand for LNG as a major growth opportunity. She said the agreement demonstrates the competitiveness of the company's offerings and its ability to establish long-term commercial partnerships.

The latest contract follows a three-year supply agreement signed in May 2023, valued at approximately $1 billion-$1.2 billion at prevailing market prices.

Alongside, ADNOC has been advancing its LNG expansion strategy through the Ruwais LNG project in Abu Dhabi. The 9.6 million-ton-per-year facility, in which TotalEnergies hold 1 10% interest, is scheduled to start operations in 2028. The facility is expected to more than double ADNOC Gas' existing LNG production capacity.