ADNOC LNG has signed two strategic supply agreements with Vitol and Total, according to a press release.
The two agreements are significant in size with Vitol purchasing 1.8 million tons per year (mmt/y) of post-2022 liquefied natural gas (LNG) volumes as well as a two-year supply agreement with Total for 0.75 mmt/y of 2021 and 2022 LNG volumes.
This news was announced at the Abu Dhabi International Petroleum Exhibition and Convention (ADIPEC) 2020 with Fatema Al Nuaimi, CEO of ADNOC LNG, saying: “We are pleased to partner with both Vitol and Total on these major deals as they will create reliable, long-term benefits for our company and shareholders. Through collaboration and by adopting a partnership approach, we are driving new growth opportunities for ADNOC and are maximizing the value of our nation’s resources.”
These are strategic deals signed at a time when LNG is showing signs of prominence; it is expected LNG global demand will grow by up to 5% annually over the next 20 years.
ADNOC LNG produces about 6 mmt/y of LNG from its facilities on Das Island off the coast of Abu Dhabi and is one of the world’s most reliable producers of the supercooled, liquefied gas.