ADNOC Gas has signed a 10-year Sales and Purchase Agreement (SPA) with GAIL India Limited, the largest natural gas company in India, to supply up to 0.52 million metric tonnes per annum (mtpa) of liquefied natural gas (LNG) starting in 2026. This agreement formalizes the Heads of Agreement announced in January between ADNOC Gas and GAIL.
The LNG will be supplied from ADNOC Gas’ Das Island liquefaction facility, which has an annual production capacity of 6.0 mtpa. This facility, operational since 1977, is one of the longest-established LNG plants still in production globally, having shipped over 3,500 LNG cargoes worldwide.
Rashid Khalfan Al Mazrouei, Senior Vice President of Marketing at ADNOC Gas, emphasized the significance of the deal: “This agreement underscores ADNOC Gas’ role as a reliable global natural gas provider and aligns with our strategy to capture future growth in gas demand, particularly in India.”
Global LNG demand is projected to grow by 15% over the next decade, driven by industrial transitions from coal to gas in China and increased LNG use for power generation across Southern and Southeast Asia. ADNOC Gas aims to more than double its LNG production capacity to meet this growing demand for low-carbon energy solutions.
Sanjay Kumar, Director of Marketing at GAIL, highlighted India’s rising demand for LNG: “This SPA with ADNOC Gas is a critical step in expanding GAIL’s LNG portfolio to meet India’s growing energy needs across various sectors.”
To support its global growth, ADNOC Gas also plans to acquire ADNOC’s 60% stake in the Ruwais LNG plant by the second half of 2028, coinciding with the start of production. Ruwais LNG will be the first LNG export facility in the Middle East and Africa to operate on clean grid electricity, making it one of the lowest-carbon intensity LNG plants in the world.
The Ruwais LNG facility will integrate artificial intelligence and advanced digital technologies to improve safety, reduce emissions, and increase efficiency. Once fully operational in 2029, ADNOC Gas’ LNG production capacity will exceed 15 mtpa.
India, the fourth-largest LNG importer globally in 2023, is expected to continue growing its LNG imports in the coming years. The country aims to increase the share of natural gas in its primary energy mix to 15% by 2030, up from around 6% today, with its LNG regasification capacity more than doubling in the past decade.
