The Abu Dhabi National Oil Co. (ADNOC) has agreed, in principle, to extend to 2040 its gas supply agreement with ADNOC LNG, in coordination with ADNOC LNG’s joint venture partners, Mitsui, BP and Total.
The new gas supply agreement is scheduled to take effect from 1 April 2019, replacing an existing agreement due to expire on 31 March 2019.
The extension announcement follows the Abu Dhabis Supreme Petroleum Council’s (SPC) approval of ADNOC’s new integrated gas strategy that will sustain LNG production to 2040 and allow ADNOC to seize incremental LNG and gas-to-chemicals growth opportunities.
As it moves to diversify its customer portfolio, ADNOC LNG has signed seven term contracts for the supply of more than 4.2 million tpy of LNG.