Adnoc Gas has signed a 10-year LNG supply agreement with India’s Hindustan Petroleum Corporation, according to a press release. The agreement will see Adnoc Gas deliver around 0.5 mn metric tons yearly from its Das Island liquefaction facility. The firm did not disclose any financial details.

Not Adnoc’s first with Indian players: Adnoc Gas signed a 14-year liquefied natural gas(LNG) supply agreement for 1.2 mn tons per year of LNG from the Das facility with Indian Oil Corporation, valued between USD 7-9 bn, earlier this year. Adnoc Gas also inked a 10-year sales and purchase agreement last year with Indian state-owned natural gas company Gail for 0.52 mn metric tons of LNG per year. Deliveries for both are set to start in 2026.

Indian demand for LNG is not expected to cool down anytime soon, as the country plans to more than double its LNG imports to 64 bn cbm annually by 2030. India is currently the world’s fourth-largest LNG buyer.

REMEMBER- India is increasingly looking for our region for energy imports as it comes under US pressure to sever its reliance on Russian crude. Facing a 25% tariff rate from the US — plus an additional tax directly tethered to its imports of Russian crude — India’s biggest refiner, Indian Oil, bought at least 2 mn barrels from Abu Dhabi and 5 mn of US crude earlier this week. India’s Reliance Industries also purchased 1 mn barrels of Abu Dhabi’s Murban crude last month. Russian imports represent about 40% of India’s crude purchases.

A case in point: Trading volumes of Murban futures have increased in recent weeks amid growing market interest in alternative crude sources, particularly against the backdrop of growing crackdown on Russia energy trade from the EU and the US. US President Donald Trump has been threatening to impose secondary sanctions targeting Moscow’s oil customers if Russia does not reach a ceasefire agreement in Ukraine soon, and the European Union also recently imposed fresh sanctions on Russian crude supplies.

Still, Indian officials say there are no plans to reduce Russian oil purchases, the New YorkTimes reports, quoting official sources. The country has issued no directive to curb Russian crude purchases, which make up over a third of the country's imports. While India faces a potential 25% tariff and unspecified penalties, logistical constraints and long-term contracts limit its options.

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