Mitsui & Co. finalizes investment in ADNOC’s Ruwais LNG project

Mitsui & Co., Ltd. Has announced a significant investment decision in the Ruwais LNG project located in Al Ruwais Industrial City, Abu Dhabi, United Arab Emirates. This development, steered by Abu Dhabi National Oil Company (“ADNOC”), marks a substantial venture into natural gas liquefaction, with Mitsui’s wholly-owned subsidiary MBK Investment Management Netherlands B.V. (“MIM”) collaborating with other prominent Project Investors.

The Ruwais LNG project is set to be a cornerstone in midstream natural gas liquefaction, boasting an annual production capacity of 9.6 million metric tons. The initiative is scheduled to begin production in 2028. The project will require a substantial investment with the EPC (Engineering, Procurement, and Construction) contract valued at approximately USD 5.5 billion (about JPY 0.9 trillion). Mitsui’s share, through MIM, is projected at around USD 550 million (approximately JPY 88 billion). Equity is distributed among Abu Dhabi National Oil Company (ADNOC) with 60%, MBK Investment Management Netherlands B.V. (MIM) at 10%, and 10% each for subsidiaries of bp, Shell, and TotalEnergies.

Mitsui has been a key player in the global LNG market since its initial investment in ADNOC’s LNG endeavors in the 1970s. The Ruwais LNG project is not just a business expansion but also a strategic alignment with Mitsui’s Global Energy Transition initiative outlined in its Medium-term Management Plan 2026. Recognizing natural gas and LNG as pivotal elements in the energy transition, Mitsui is set to boost its long-term earnings and contribute to a sustainable, low-carbon future. The project integrates innovative E-Drive designs and clean power utilization to reduce greenhouse gas emissions during LNG production, reinforcing Mitsui’s commitment to a decarbonized society.

While the financial impact on Mitsui’s consolidated profit for the fiscal year ending March 2025 is expected to be minimal, the strategic implications of this investment resonate deeply with Mitsui’s long-term vision of enhancing the global quality of life and ensuring stable energy supplies.

Mitsui’s decision to invest in the Ruwais LNG project not only underscores its longstanding partnership with ADNOC but also highlights its proactive approach towards supporting the global shift to sustainable energy sources. As Mitsui continues to expand its footprint in the energy sector, this project stands as a testament to its dedication to environmental stewardship and innovation in energy solutions.