oil-gas-energy

ADNOC Signs 10-Year LNG Supply Agreement with Gujarat Energy

November 12, 2026Plus UAE Editorial Team8 min read

ADNOC Gujarat LNG Agreement: 10-Year Supply Deal Strengthening UAE–India Energy Security

As global energy demand continues to evolve, long-term Liquefied Natural Gas (LNG) agreements are becoming increasingly important for ensuring reliable energy supplies and supporting the transition to lower-carbon fuels. Reflecting this trend, the ADNOC Gujarat LNG Agreement is a 10-year Sales and Purchase Agreement (SPA) between ADNOC and Gujarat Energy Ltd (GEL) to supply up to 4 million tonnes of LNG beginning in 2028. The deal represents ADNOC's fifth LNG supply agreement with India and marks the first sale of LNG from XRG's international portfolio, reinforcing the UAE's position as a trusted global energy supplier.

Beyond a commercial transaction, the ADNOC Gujarat LNG Agreement strengthens the long-standing UAE–India energy partnership, supports India's growing demand for cleaner energy, and demonstrates ADNOC's strategy of expanding its global LNG business through its international investment company, XRG.

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ADNOC Gujarat LNG Agreement: Key Highlights

ADNOC signs a 10-year LNG Sales and Purchase Agreement (SPA) with Gujarat Energy Ltd.
Gujarat Energy will receive up to 4 million tonnes of LNG over ten years.
LNG deliveries are scheduled to begin in 2028.
This is ADNOC's fifth long-term LNG agreement in India.
The agreement marks the first commercial sale from XRG's international LNG portfolio.
Supplies will be marketed through ADNOC's global LNG trading platform based in Abu Dhabi Global Market (ADGM).
The platform targets 47 million tonnes per annum (mtpa) of marketable LNG beyond 2030.

Understanding the ADNOC Gujarat LNG Agreement

Under the long-term agreement, Gujarat Energy Ltd will procure LNG from XRG's international gas portfolio through ADNOC's global LNG marketing and trading platform. The contract provides India with a reliable long-term LNG supply while expanding ADNOC's presence in one of the world's fastest-growing natural gas markets.

Long-term LNG contracts such as this help buyers reduce exposure to short-term market volatility while improving energy security through predictable supply arrangements.

What is LNG?

Liquefied Natural Gas (LNG) is natural gas that has been cooled to approximately −162°C, reducing its volume by around 600 times. This makes it economical to transport across long distances by specialized LNG carriers where pipeline infrastructure is unavailable.

LNG plays an increasingly important role in global energy systems because it:

Produces lower carbon emissions than coal.
Supports reliable electricity generation.
Provides cleaner fuel for industries.
Supports city gas distribution.
Enables countries to diversify energy supplies.

As nations pursue lower-carbon energy strategies, LNG continues to serve as an important transition fuel.

Why India Continues to Increase LNG Imports

India's rapidly expanding economy is driving sustained demand for cleaner and more reliable energy sources. Natural gas consumption continues to grow across:

Industrial manufacturing
Fertilizer production
Petrochemical industries
Power generation
City Gas Distribution (CGD)
Commercial facilities
Residential consumers
Transportation

Long-term LNG contracts help India secure stable supplies while reducing dependence on spot-market purchases and supporting its broader energy transition goals. Recent market developments have also encouraged Indian buyers to diversify LNG sourcing and strengthen long-term supply security.

Why the ADNOC Gujarat LNG Agreement Matters

This agreement extends beyond the supply of LNG and delivers strategic value to both countries.

Strengthening Energy Security

Reliable long-term LNG contracts help importing countries secure energy supplies during periods of market uncertainty.

For India

Long-term supply certainty
Greater procurement stability
Improved fuel security
Diversified sourcing options

For ADNOC

The agreement strengthens long-term customer relationships within one of Asia's fastest-growing energy markets.

The First LNG Sale from XRG's International Portfolio

One of the most significant aspects of this announcement is that it represents the first commercial LNG sale from XRG's international portfolio.

XRG is ADNOC's international investment company, established to build a globally integrated portfolio across:

Natural Gas

LNG

Chemicals

Scalable Energy Solutions

The ADNOC Gujarat LNG Agreement demonstrates XRG's ability to connect internationally sourced LNG with customers across global markets through ADNOC's expanding marketing and trading platform.

ADNOC's Growing Global LNG Strategy

The ADNOC Gujarat LNG Agreement reflects ADNOC's broader strategy of expanding its LNG business beyond the UAE. Its global LNG marketing platform, launched in Abu Dhabi Global Market (ADGM) in 2026, has already signed supply agreements with customers in:

India
Japan
Thailand

The platform aims to market 47 million tonnes per annum (mtpa) of LNG beyond 2030, positioning ADNOC among the world's leading LNG suppliers.

Opportunities for the UAE Energy Sector

The expansion of ADNOC's LNG portfolio is expected to generate broader opportunities across the UAE's energy ecosystem. Growing LNG investments can support demand for:

EPC contractors
Engineering consultants
Marine engineering companies
Industrial automation providers
Fire & Gas specialists
Inspection and certification companies
Logistics providers
Industrial equipment manufacturers
OEMs
Maintenance and commissioning specialists

As international LNG infrastructure expands, these sectors are likely to play an increasingly important role in supporting project execution and operational excellence. Companies targeting this market can explore our energy business expansion services.

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Strengthening UAE–India Energy Relations

Energy has remained a cornerstone of the strategic partnership between the UAE and India for decades. The ADNOC Gujarat LNG Agreement further strengthens cooperation across:

Oil & Gas
LNG
Petrochemicals
Infrastructure
Industrial investment
Clean energy initiatives

The collaboration reflects the growing economic ties between both countries while supporting long-term industrial development and energy security.

Global LNG Market Outlook

Global LNG demand is expected to remain strong as countries seek secure, flexible, and lower-carbon energy sources. Key market trends include:

Increasing long-term LNG contracts
Diversification of supply sources
Rising Asian demand
Expansion of LNG infrastructure
Continued investment in global gas portfolios

ADNOC has also stated that long-term natural gas demand is expected to continue growing as countries pursue a more diversified energy mix.

What This Means for International Businesses

The continued expansion of ADNOC's LNG portfolio, as the ADNOC Gujarat LNG Agreement shows, highlights the UAE's growing role as a global energy hub. For international companies, this creates opportunities in:

Energy infrastructure development
LNG logistics
Marine services
Industrial automation
Engineering consultancy
Inspection and testing
Asset integrity management
Digital energy solutions

Businesses looking to establish or expand operations in the UAE energy sector may benefit from aligning their capabilities with the country's long-term investment strategy.

Conclusion

The ADNOC Gujarat LNG Agreement, a 10-year deal between ADNOC and Gujarat Energy, is more than a supply contract—it represents a strategic milestone in the UAE–India energy partnership. By supplying up to 4 million tonnes of LNG beginning in 2028, ADNOC reinforces its commitment to reliable long-term energy supply while advancing the international growth of XRG and its global LNG marketing platform.

As global demand for cleaner and more secure energy continues to rise, partnerships like this demonstrate how long-term collaboration, diversified supply chains, and international investment are shaping the future of the LNG industry. For businesses operating across the energy value chain, the ADNOC Gujarat LNG Agreement also signals new opportunities in engineering, infrastructure, logistics, and industrial services as the UAE strengthens its position as a leading global energy partner.

Ready to Expand Your Business in the UAE Energy Sector?

As the UAE continues to strengthen its position as a global energy hub through strategic LNG partnerships and large-scale investments, international companies have significant opportunities to establish and grow their presence in the region.

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