The ADNOC Gas HPCL LNG Agreement marks a major milestone in India–UAE energy cooperation and long-term LNG supply security.
The ADNOC Gas HPCL LNG Agreement marks a major milestone in India–UAE energy cooperation, securing long-term LNG supplies for India’s growing gas demand. ADNOC GAS and Hindustan Petroleum Corporation Limited (HPCL) have signed a 10-year Liquefied Natural Gas (LNG) Sale and Purchase Agreement (SPA) valued at approximately $2.5–3 billion, marking a major milestone in the strategic energy partnership between India and the United Arab Emirates (UAE).

Under the agreement, ADNOC Gas will supply 0.5 million tonnes per annum (MTPA) of LNG to India, reinforcing its role as a reliable long-term supplier to Asia’s fastest-growing gas market.

 ADNOC Gas HPCL LNG Agreement: Key Highlights

India has now emerged as the largest LNG customer of the UAE, with around 20% of ADNOC Gas-operated LNG volumes expected to be supplied to India by 2029. Over the past 24 months, ADNOC Gas has signed more than $20 billion worth of LNG contracts with Indian energy companies, highlighting India’s growing importance in the company’s global LNG strategy.

This latest agreement further strengthens ADNOC Gas’ long-term commercial relationship with India and aligns with the country’s ambition to increase the share of natural gas in its energy mix to 15% by 2030.

Agreement Signed During High-Level India–UAE Visit

The agreement was announced during the official visit of His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, to India, where he met with Prime Minister Narendra Modi.

The signed contract was exchanged by His Excellency Dr Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, and Vikas Kaushal, Chairman and Managing Director of HPCL, underscoring the deepening strategic ties between the two nations.

Strategic Importance of the LNG Deal

This agreement converts a previously signed Heads of Agreement (HoA) into a firm long-term SPA, providing supply certainty and price stability over the next decade.

Speaking on the occasion, Fatema Al Nuaimi, Chief Executive Officer of ADNOC Gas, stated:

“We are pleased to sign this long-term LNG supply agreement with Hindustan Petroleum Corporation, reflecting the strong and growing energy partnership between the UAE and India. This agreement underscores ADNOC Gas’ commitment to delivering reliable LNG while supporting India’s ambition to increase natural gas to 15% of its energy mix by 2030.”

Supply from Das Island LNG Facility

The LNG supplies under this agreement will be sourced from ADNOC Gas’ Das Island liquefaction facility, one of the world’s longest-operating LNG plants, with a production capacity of up to 6 MTPA.

Since commencing operations, Das Island has delivered over 3,500 LNG cargoes globally, demonstrating exceptional operational reliability and performance.

By 2029, ADNOC Gas is expected to operate 15.6 MTPA of LNG, of which 3.2 MTPA will be contracted to Indian energy companies, including HPCL.

To understand the difference between LNG, PNG and CNG, read more here.

Benefits for HPCL and India’s Energy Security

HPCL will receive LNG supplies at its 5 MTPA LNG regasification terminal at Chhara, Gujarat, which was dedicated to the nation by the Hon’ble Prime Minister in September 2025.

The LNG supplies will support HPCL’s:

• Oil refineries

• City Gas Distribution (CGD) networks

• Fertilizers, power, petrochemicals, and other gas-consuming sectors

This long-term contract enhances India’s energy security, ensuring reliable and affordable gas supplies amid global geopolitical volatility and evolving energy markets.

To understand how LNG is converted into CNG and why it expands nearly 600 times, read more here.

Expanding ADNOC Gas’ Presence in Asia

The HPCL agreement aligns with ADNOC Gas’ broader strategy to expand its customer base in India and across Asia. Over the past three years, ADNOC Gas has secured multiple long-term LNG agreements ranging from 0.4 to 1.2 MTPA, with contract durations of up to 14 years.

These agreements reinforce ADNOC Gas’ position as a leading supplier of reliable, lower-carbon LNG to Asia’s rapidly growing energy markets.

Conclusion

The long-term LNG agreement between ADNOC Gas and HPCL represents a strategic win for both nations—strengthening India’s energy transition goals while reinforcing ADNOC Gas’ role as a trusted global LNG supplier. As India’s gas demand continues to grow, partnerships such as this will play a critical role in shaping the future of the regional and global LNG landscape.

To know more about the units used in the oil and gas industry, read more here.