ADNOC Gas signs $450-$550mn LNG supply pact with PetroChina

ADNOC Gas, a unit of Abu Dhabi National Oil Company (ADNOC), has signed an agreement with PetroChina International, a subsidiary of PetroChina, to supply LNG. The deal is valued between $450mn and $550mn.

The agreement, which was announced on September 7, will see ADNOC Gas supply LNG to PetroChina for a period of up to five years. The LNG will be supplied from ADNOC Gas's facilities in the UAE.

The deal is a significant milestone for ADNOC Gas and PetroChina, as it marks the first time that the two companies have entered into an LNG supply agreement. ADNOC Gas did not provide the LNG volumes or timing for when the shipments will commence. 

This is the second LNG supply deal for ADNOC Gas within a month. On August 17, the company announced a five-year LNG supply agreement with Japan Petroleum Exploration Co. (JAPEX). That deal is also valued between $450mn and $550mn.

Earlier this year, ADNOC formed ADNOC Gas as a new entity responsible for natural gas processing, operations, and marketing. It brought together the operations, maintenance, and marketing of ADNOC Gas Processing and ADNOC LNG businesses into one consolidated business.