Indian Oil to get 1 MMT LNG from ADNOC per annum for 15 years

New Delhi: State-run Indian Oil Corporation Limited (IOCL) has signed a long-term memorandum of understanding (MoU) with Abu Dhabi National Oil Company (ADNOC) under which it will get 1 Million Metric Tonnes of Liquefied Natural Gas (LNG) per annum from ADNOC for 15 years. A statement released by the United Arab Emirates’ (UAE) government media said that ADNOC will supply LNG to Indian Oil from its Ruwais LNG project which is expected to start production in late 2028.

PSU Watch is now on Whatsapp Channels. Click here to join

This is the third such contract signed in just over a year. Both IOCL and GAIL had previously signed long-term agreements for 1.2 MMTPA and 0.5 MMTPA, respectively, with ADNOC.

ADNOC signs MoUs with ISPRL & Urja Bharat

Another MoU has been signed between ADNOC and India Strategic Petroleum Reserve Limited (ISPRL). “The MoU between ADNOC and ISPRL, inter alia, provides for exploring ADNOC's participation in additional opportunities for crude storage in India and the renewal of their storage and management agreement on mutually acceptable terms and conditions. This MoU builds on ADNOC’s existing involvement in crude storage at the Mangalore Cavern of ISPRL since 2018,” said the government.

In addition, a Production Concession Agreement has been signed between Urja Bharat and ADNOC for Abu Dhabi Onshore Block 1. “The Production Concession Agreement for Abu Dhabi Onshore Block 1 between Urja Bharat (a JV of IOCL and Bharat Petro resources Ltd) and ADNOC is the first one for any Indian company operating in the UAE. The concession entitles Urja Bharat to bring crude oil to India, thus contributing towards the country’s energy security,” a press statement said.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)