Integrated gas processing company ADNOC Gas has signed a liquefied natural gas (LNG) supply agreement with Japan-based energy company Japan Petroleum Exploration (JAPEX).
The five-year LNG supply deal is valued between $450m and $550m.
According to the UAE-based company, the partnership builds on UAE and Japan’s long-standing bilateral relationship as well as Abu Dhabi National Oil Company (ADNOC)’s track record of building mutually beneficial collaborations with Japanese energy companies.
Earlier, ADNOC said that Japan imports nearly 25% of its crude oil from the UAE, making the Asian country ADNOC’s largest international importer of oil and gas products, reported Reuters.
ADNOC Gas CEO Ahmed Alebri said: “Japan is one of the UAE’s largest and most important energy partners and we are very pleased to strengthen this relationship through this LNG supply agreement with JAPEX.
”The agreement reinforces ADNOC Gas’ position as a global LNG export partner of choice and highlights the Company’s growing global presence, particularly in the Asian LNG market.”
Last month, ADNOC Gas awarded contracts worth $1.34bn for the expansion of its natural gas pipeline network to Petrofac Emirates and the consortium between National Petroleum Construction and C.A.T International.
The company aimed to expand its existing pipeline network from nearly 3,200km to more than 3,500km under the sales gas pipeline network enhancement (ESTIDAMA) programme.
Listed on Abu Dhabi Securities Exchange (ADX), ADNOC Gas supplies about 60% of the UAE’s sales gas requirements along with end customers in more than 20 countries.
In a separate announcement, JAPEX said it has invested in PowerX, a start-up that develops new businesses to transform energy storage systems and power transmission technologies.
