The Abu Dhabi National Oil Company (ADNOC) has signed an agreement with Vitol, the world’s largest independent energy trader, for the sale of up to 528,000t/y of liquefied petroleum gas (LPG), to Vitol over the next ten years, Emirates News Agency reported.
The long-term agreement, which will expire in December 2026, was signed on the sidelines of International Petroleum Week, currently taking place in London, by ADNOC’s Sales and Marketing Director, Abdulla Salem Al Dhaheri, and Vitol’s Executive Committee Member, Russell Hardy, according to AlBawaba.
Al Dhaheri said: “ADNOC has implemented a new strategy toward its LPG sales by negotiating longer term contracts to cope with the oversupply market especially after the Shale Gas Revolution.”
As he further explained, the agreement strengthens the long-standing relationship between ADNOC and Vitol, and is a prime example of the innovative and different thinking being brought to business deals.
“It will create reliable, long-term value and maximize our gas resources to ensure the company is resilient to future fluctuations in the global energy markets,” Al Dhaheri added.