ADNOC Gas has announced plans to acquire ADNOC’s 60% stake in the Ruwais liquefied natural gas (LNG) project during the second half of 2028.
This acquisition, estimated at approximately $5bn, is part of ADNOC Gas’s strategy to expand its footprint in the global LNG sector.
The transfer of the Ruwais LNG stake will occur “at cost”.
ADNOC Gas currently oversees the construction, design, and marketing of the Ruwais LNG plant on behalf of the ADNOC Group. The midstream project has already secured commitments from international customers for over seven million tonnes per annum (mtpa) of its projected production capacity of 9.6mtpa.
ADNOC Gas CEO Ahmed Mohamed Alebri said: “It has always been our intention to acquire ADNOC’s 60% stake in Ruwais LNG. This investment is a central component of our ambitious international growth plans and will strengthen ADNOC Gas’ position as a powerhouse in the global LNG market.
“Over the next five years we plan to invest $15bn in CAPEX in projects which will enable us to capture opportunities from the forecast increase in domestic and global demand for the lower carbon gases we produce.”
Once operational, the Ruwais LNG plant will increase ADNOC Gas’s LNG production capacity from its current 6mtpa at Das Island to over 15mtpa. The facility will feature two electrically powered liquefaction trains, each with a capacity of 4.8mtpa, representing a first for the Middle East and North Africa (MENA) region.
Upon completion, Ruwais LNG is expected to have one of the lowest carbon intensities of any LNG plant globally, according to ADNOC Gas.
The plant’s first liquefaction train is scheduled for completion in the second half of 2028, with the second train expected to come online by early 2029.
ADNOC Gas projects that the Ruwais facility will produce enough LNG annually to meet the energy needs of households across Greater London for more than two years. The facility will integrate artificial intelligence (AI) and other advanced digital technologies to enhance operational safety, minimise emissions, and optimise efficiency.
In June, ADNOC reached a final investment decision (FID) on the Ruwais LNG project, which included an engineering, procurement, and construction (EPC) contract valued at over $5.5bn.
In July, ADNOC was joined by Mitsui & Co., Shell, BP, and TotalEnergies as equity partners, with each taking a 10% stake in the project.
Earlier this month, ADNOC finalised the first long-term sales and purchase agreement (SPA) for the Ruwais LNG project. This SPA converts the previous heads of agreement between ADNOC and SEFE, announced in March, into a binding contract.
The 15-year SPA, securing 1mtpa, was signed with SEFE Marketing and Trading Singapore, a subsidiary of Germany’s SEFE Securing Energy for Europe.
Under the agreement, LNG sourced primarily from the Ruwais project will be delivered to SEFE, with shipments expected to begin in 2028 upon the facility’s commencement of commercial operations.
