Abu Dhabi National Oil Company’s logistics unit has signed a framework deal with Japan’s Inpex Corporation for an LNG bunkering partnership in the UAE.
Under the deal, ADNOC Logistics & Services and Inpex will explore opportunities for liquefied natural gas bunkering in the country and the potential to jointly expand activities overseas in regions including Southeast Asia.
ADNOC said the decision came amid expectations of expanding LNG fuel usage on non-LNG carriers to meet climate targets and the UAE’s growing importance as bunkering hub.
“Our goal, through this partnership, is to offer safe and efficient LNG fuelling solutions to our customers. With the support of our sister company, ADNOC LNG, as well as our partner, INPEX, we see a significant opportunity to become a major player in the LNG bunker market,” said ADNOC L&S captain Al Masabi.
Inpex has a long-standing relationship with ANDOC and was appointed to manage its Lower Zakum offshore concession earlier this year after securing a 10 per cent interest in the field for $600m.
The company has been involved in Abu Dhabi’s oil and gas industry since 1973 through the ADMA concession. The company also has a 12 per cent stake in ADNOC’s Upper Zakum concession and a 5 per cent stake in the ADCO onshore concession.
ADNOC announced plans for the UAE to become gas self-sufficient and even a gas exporter under a $132bn investment plan.
It also announced a series of gas deals including the awarding of a 10 per cent stake in its Ghasha ultra-sour gas mega project to Germany’s Wintershall Holding.