ADNOC secures PETRONAS partnership for Ruwais LNG project

Abu Dhabi National Oil Company (ADNOC) has solidified its position as a global leader in sustainable energy by converting a prior understanding with Malaysia’s Petroliam Nasional Berhad (PETRONAS) into a 15-year Sales and Purchase Agreement (SPA). The agreement will supply one million tonnes per annum (mtpa) of liquefied natural gas (LNG) from the Ruwais LNG project. This strategic collaboration underlines ADNOC’s role in providing lower-carbon LNG to meet the growing energy demand in Asia while reinforcing its position in the global energy market.

Ruwais LNG project drives sustainability and expansion

The Ruwais LNG project, currently under development in Al Ruwais Industrial City, Abu Dhabi, represents a landmark step in the transition to sustainable energy. The facility, set to begin operations in 2028, will produce 9.6 mtpa of LNG, supported by two liquefaction trains. Already, more than 8 mtpa of its capacity is committed to international customers under long-term contracts, ensuring its significant role in the global energy market.

ADNOC Gas has announced plans to acquire ADNOC’s 60% stake in the Ruwais LNG project by 2028 for an estimated $5 billion. This move will double its LNG production capacity to approximately 15 mtpa, reinforcing ADNOC’s commitment to expanding its footprint in the global energy market.

PETRONAS strengthens ties with UAE

PETRONAS Vice President of LNG Marketing & Trading, Shamsairi Ibrahim, praised the collaboration as an essential step in bolstering Malaysia’s energy security and advancing its energy transition. He described the agreement as a strategic effort that complements PETRONAS’ upstream ventures in the UAE while strengthening ties with ADNOC. The long-term partnership, he said, ensures a reliable supply of lower-carbon LNG to meet Malaysia’s domestic needs and aligns with the shared goals of sustainable development.

Advanced technology enhances Ruwais LNG’s sustainability

The Ruwais LNG project stands out for its sustainability credentials. It will be the first LNG export facility in the Middle East and Africa to operate entirely on clean power, making it one of the lowest-carbon-intensity LNG plants globally. By integrating artificial intelligence and advanced technologies, the project aims to minimise emissions, enhance safety, and improve operational efficiency, setting a new standard for lower-carbon LNG production.

Fatema Al Nuaimi, ADNOC’s Executive Vice President of Downstream Business Management, highlighted the project’s role in addressing global energy needs. She noted that the delivery of lower-carbon LNG through this partnership positions ADNOC as a key player in meeting international energy demands, particularly in Asia, while supporting the global energy market’s transition to cleaner fuel sources.

Pioneering a sustainable energy transition

The Ruwais LNG project’s emphasis on clean power and efficiency reflects ADNOC’s broader vision for the energy transition. By aligning with global sustainability goals, ADNOC and PETRONAS are contributing to a more secure, reliable, and environmentally responsible global energy market. Their collaboration underscores the importance of partnerships in driving innovation and providing solutions for the future of energy.