ADNOC signs LNG supply agreement with Gulf Group for Thailand

Abu Dhabi National Oil Company (ADNOC) and Gulf Group have concluded a long-term sales and purchase agreement for the direct off-take and delivery of liquefied natural gas (LNG). Under the contract framework, ADNOC Trading will supply approximately 2 million tonnes of cryogenic fuel to Gulf Group beginning in 2027 to meet regional industrial energy demand.

Supply Chain Integration and Partner Roles
The industrial challenge centers on securing continuous, high-volume fuel flows to support natural gas-fired electricity networks, where fuel supply fluctuations risk grid instability. Meeting these requirements demands tightly coupled logistics coordination between cryogenic production terminals, marine transport fleets, and regional regasification assets.

Under the framework, ADNOC serves as the upstream producer and commodity supplier, deploying its centralized marketing and trading platform established at Abu Dhabi Global Market. ADNOC Trading acts as the contractual and logistics counterparty, managing cargo schedules, vessel routing, and offshore offloading protocols. Gulf Group acts as the midstream and downstream receiver, coordinating regasification terminal access, pipeline off-take, and downstream dispatch to thermal power generating stations.

Operational Architecture and Fleet Logistics
Deliveries will integrate with Gulf Group's midstream receiving infrastructure, which coordinates regasified methane distribution into industrial pipelines and combined-cycle turbine circuits. The supply arrangement expands upon an initial off-take agreement established between the operators in 2025.

Regarding midstream strategy, Sarath Ratanavadi, Chief Executive Officer of Gulf Development Public Company Limited, stated:

"By securing midstream infrastructure, shipping capacity and relationships with leading suppliers, we are strengthening every link of our value chain. It gives Gulf Group the flexibility and scale to meet growing energy demand while supporting the region's energy transition."

ADNOC utilizes its digital trading framework to manage shipping optionality, route scheduling, and fleet capacity from production points to Asian discharge terminals. The operational model supports ADNOC's midstream scaling objective targeting 47 million tonnes per annum (mtpa) of marketable LNG beyond 2030, supported by international trading offices located in Abu Dhabi, Singapore, and Geneva.

Industrial Impact and Terminal Dispatch
Transferring 2 million tonnes of LNG into Thailand's power network establishes an ongoing fuel buffer for base-load and peak-load generation. The deployment leverages existing regasification capacity to maintain required gas pressure standards across industrial pipeline grids, preventing localized supply interruptions and providing predictable fuel pricing structures for downstream manufacturing and utilities.

Edited by Natania Lyngdoh, Induportals editor, with AI assistance.

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