According to Forbes Middle East article published on May 2, 2023, the UAE's state-owned energy firm Abu Dhabi National Oil Co Gas (ADNOC Gas), a subsidiary of energy behemoth ADNOC, has signed a three-year agreement with the French energy giant TotalEnergies Gas and TotalEnergies subsidiary Power for the export of liquefied natural gas (LNG) to expand its global reach.
New agreement
The three-year agreement, expected to start this year, will be worth $1 billion (AED 3.67 billion) to $1.2 billion (AED 4.4 billion), ADNOC Gas said in a statement Monday.
Under the terms of the agreement, the Emirati company will supply TotalEnergies with LNG, delivering it to various export markets worldwide.
ADNOC Gas has the capacity to produce about 10 billion standard cubic feet of gas per day. The company has an expanding portfolio of products, meeting about 60% of the gas needs of the UAE and exports natural gas and related products to a customer base in over 20 countries.
Crucial quote
"These additional volumes will strengthen our global LNG portfolio, our ability to supply the growing Asian markets, and our ambition to accompany our customers in their energy transition,” said Thomas Maurisse, senior vice president LNG at TotalEnergies.
Key background
In March, ADNOC raised about $2.5 billion from the initial public offering (IPO) of ADNOC Gas, making it the largest listing in the Middle East and North Africa (MENA) region this year. The listing surpassed Borouge, another ADNOC subsidiary that was listed on the Abu Dhabi Securities Exchange (ADX) in June last year.
The gas subsidiary reported a 27% year-on-year increase in its adjusted revenue at $24.7 billion (AED 90.7 billion) for the full year of 2022 on a pro forma basis, while its adjusted net profit climbed 37% to $4.9 billion (AED 18 billion).
In mid-February, ADNOC Gas delivered 137,000 cubic meters of liquefied natural gas (LNG) to Germany, the first-ever natural gas cargo shipped to the central European country from the Middle East as it raced to safeguard its energy security amid a winter of uncertainty following the conflict in Ukraine.
