Post by : Badri Ariffin

In a significant development, the United Arab Emirates (UAE) has formalized an extensive liquefied natural gas (LNG) agreement valued at over $2.5 billion with a state-owned enterprise from India.

The contract was signed by ADNOC Gas, a subsidiary of the Abu Dhabi National Oil Company, and Hindustan Petroleum Corporation Limited (HPCL). This agreement will enable ADNOC Gas to provide 500,000 tonnes of LNG annually, spanning a decade.

ADNOC Gas highlighted that this contract boosts the overall worth of LNG agreements it has in place to more than $20 billion. With this contract, India is set to become the largest consumer of natural gas from the UAE.

The company indicated that from 2029 onward, Indian enterprises will represent over 20 percent of ADNOC Gas's annual output capacity of 15.6 million tonnes.

This LNG agreement was finalized during the visit of UAE President Sheikh Mohamed bin Zayed Al Nahyan to New Delhi, where discussions were held with Indian Prime Minister Narendra Modi.

In a collaborative statement, both leaders acknowledged the robust growth in bilateral trade following the 2022 Comprehensive Economic Partnership Agreement (CEPA) and pledged to enhance trade between their nations to $200 billion by 2032.

India and UAE also affirmed their commitment to bolster cooperation in defense and security, which includes partnerships in special operations, military interoperability, cybersecurity, and counter-terrorism, as outlined in a statement from the Indian Prime Minister’s Office.

#Global News