Abu dhabi: ADNOC today announced a 15-year Sales and Purchase Agreement (SPA) with Shell International Trading Middle East Limited FZE, a wholly-owned subsidiary of Shell plc, for the delivery of up to 1 million tonnes per annum (mtpa) of liquefied natural gas (LNG).
According to Emirates News Agency, the deal was signed during ADIPEC 2025 and marks ADNOC's first long-term LNG sales agreement with Shell, as well as the eighth long-term offtake agreement secured for the Ruwais LNG project. This SPA converts a previous Heads of Agreement into a definitive agreement, marking a significant step in ADNOC's efforts to rapidly commercialize the Ruwais LNG project. With this latest agreement, over 8 mtpa of the project's planned 9.6 mtpa capacity is now secured through long-term deals with customers across Asia and Europe, just 16 months after the project's Final Investment Decision (FID) in July 2024.
Fatema Al Nuaimi, CEO of ADNOC Gas, emphasized the importance of the agreement, stating, "This agreement with Shell marks a significant milestone that reinforces ADNOC's position as a reliable global supplier of lower-carbon LNG. Securing over 80 percent of Ruwais LNG's capacity in just over a year from FID is a remarkable achievement that sets a new benchmark for large-scale LNG projects globally."
The LNG will be primarily sourced from the Ruwais LNG project, currently under development in Al Ruwais Industrial City, Abu Dhabi. Shell holds a 10 percent stake in the project through its subsidiary, Shell Overseas Holdings Limited. Tom Summers, Executive Vice President of Shell LNG Marketing and Trading, highlighted the long-standing partnership with ADNOC and the shared vision of enhancing global energy security through strategic collaboration.
The Ruwais LNG plant will be the first LNG export facility in the Middle East and Africa region to operate on clean power, making it one of the lowest-carbon intensity LNG projects globally. The plant will utilize artificial intelligence (AI) and the latest technologies to enhance safety, operational efficiency, and emissions performance. With two 4.8 mtpa liquefaction trains, the facility will more than double ADNOC Gas' existing LNG production capacity to approximately 15 mtpa, supporting ADNOC's strategy to expand its LNG portfolio to meet rising global demand.