ADNOC Gas continues to solidify its position as a key player in the liquefied natural gas (LNG) sector, driven by rapid progress in its strategic projects and programs. This integrated approach focuses on enhancing the operational readiness of its assets while ensuring their long-term sustainability amid swift changes in the global energy market regarding supply and demand.
The impressive progress in the Ruwais LNG project highlights its strategic significance, with an annual production capacity of 9.6 million tons. ADNOC Gas reports that construction is advancing ahead of schedule, potentially allowing for an earlier start date for commercial operations, originally slated for the second half of 2028. Upon becoming operational, the project is expected to boost the UAE’s overall LNG production capacity to about 15 million tons annually.
In a statement to the Emirates News Agency (WAM), the company indicated that it plans to acquire ADNOC’s stake in the Ruwais project upon its completion, aligning with an estimated cost of around $5 billion. Furthermore, ADNOC Gas has successfully secured long-term sales agreements covering over 8 million tons per year from the project, allocating 80% of its output to long-term contracts while selling the remainder in the spot market, consistent with the operational model adopted at the Das facility.
ADNOC Gas emphasized that this strategy supports stable value creation during the initial operational phases, considering that global market forecasts remain subject to fluctuations based on prevailing conditions and variables.
Regarding the Das facility, which has been operational for nearly fifty years with a production capacity of around 6 million tons per year, the company reported that it completed a comprehensive development program last year, which included expanding loading docks to accommodate larger vessels. The next phase will involve a complete refurbishment of the first and second units to maintain operational reliability, reiterating its commitment to ongoing investment in the facility while noting that expansion plans are currently not on the table due to changes in the global energy market.
The company added that it is closely monitoring global demand trends, including the anticipated increase related to AI data center expansions, which will help prioritize future phases between meeting domestic demand and expanding exports.
ADNOC Gas revealed that it has taken proactive measures to address the expected increase in global LNG supply in the latter half of the year by signing a range of long-term contracts, especially with customers in Asian markets. This strategy ensures effective marketing of the Ruwais project output and stable returns despite market volatility.
The company confirmed that over the past three years, it has signed a series of long-term agreements for the annual supply of natural gas, ranging from 0.4 to 1.2 million tons under contracts extending up to 14 years. These agreements contribute to broadening its customer base and solidifying ADNOC Gas’s position as a leading and reliable global supplier of low-emission LNG to fast-growing Asian energy markets.
ADNOC Gas is preparing to make a final investment decision for the second phase of the Gas Development Project. The first phase is progressing according to the timeline set since its approval in June 2025, aiming to add 1.5 billion cubic feet per day of processing capacity by 2027. This phase includes a comprehensive program to address operational bottlenecks across four main facilities: Arsh, Bu Hasa, Habshan, and Das.
The company indicated that the second phase of the project will involve constructing a new fractionation unit, “Train 5,” at the Ruwais facility to produce liquefied petroleum gas, condensates, and naphtha, while the third phase will add a new gas processing train at the Habshan facility.
ADNOC Gas confirmed that its growth strategy is based on a clear, gradual approach that maximizes the use of existing capacity and addresses operational bottlenecks to enhance efficiency, followed by adding new units as necessary to ensure optimal utilization of the company’s assets.