Japan’s Mitsui & Co. and ADNOC’s LNG Project in the UAE
In a recent development, Japan’s Mitsui & Co. clarified on Tuesday that no decision has been made regarding a liquefied natural gas project in the UAE, following reports of a collaboration with Abu Dhabi National Oil Co. (ADNOC).
Partnership Details
According to the Nikkei, ADNOC is expected to hold a stake of approximately 60 percent, while Mitsui’s stake would be around 10 percent in the $7 billion LNG project at Ruwais. Mitsui’s investment is estimated to be several tens of billions of yen. Other major players like Shell, BP, and Total Energies are also likely to be involved in the project.
ADNOC’s Ambitions and Project Details
ADNOC has ambitious plans for gas and LNG, considering them as key pillars for its future growth along with renewable energy and petrochemicals. The Ruwais LNG project, located west of Abu Dhabi city, will play a crucial role in doubling ADNOC’s LNG production capacity. The plant will feature electric-powered processing facilities and operate on renewable and nuclear grid power, making it one of the most environmentally friendly LNG facilities globally.
Progress and Future Prospects
In March, ADNOC issued a limited notice to proceed for early engineering, procurement, and construction on the Ruwais LNG project to a consortium led by Technip Energies. The final investment decision is expected later this year. ADNOC has already secured several LNG supply deals, including agreements for LNG from the Ruwais project, set to commence commercial operations in 2028. The company has also been eyeing acquisitions of foreign firms to enhance its gas portfolio.