Gujarat Energy Signs 10-Year LNG Supply Agreement with ADNOC

Gujarat Energy Ltd (GEL), formerly known as Gujarat Gas Ltd, has signed a 10-year agreement with the Abu Dhabi National Oil Company (ADNOC) to procure up to 4 million tonnes of liquefied natural gas (LNG). According to the company's stock exchange disclosure, supplies are scheduled to begin in 2028 as part of the firm's efforts to strengthen its long-term gas sourcing portfolio.

Under the terms of the agreement, Gujarat Energy will source LNG from the international gas portfolio of XRG, which is ADNOC’s international investment company. This transaction marks the first procurement of LNG molecules from XRG’s international portfolio. It also represents ADNOC’s fifth LNG supply agreement in the Indian market, according to a statement released by the company on Friday.

The contract provides for an aggregate supply of up to 4 million tonnes over a 10-year period, translating to an average potential supply of up to 400,000 tonnes annually, with actual offtake dependent on contractual arrangements. The agreement notes that pricing will be linked to the Henry Hub index.

The deal will be executed through ADNOC’s global LNG marketing and trading platform, which was launched in the Abu Dhabi Global Market in July 2026. This platform targets 47 million tonnes per annum of marketable LNG beyond 2030. Rashid Al Mazrouei, chief marketing and origination officer for LNG at ADNOC, stated that the agreement reinforces the company's energy partnership with India and marks the initial sale of molecules from XRG’s international portfolio.

For Gujarat Energy, the long-term pact is intended to secure stable supplies for its expanding customer base. The company's consumers include industrial, commercial, domestic, and automobile sectors. Managing Director Avantika Singh Aulakh noted that natural gas serves as a crucial lower-carbon option aimed at improving industrial efficiency, providing households with a safer cooking fuel, and supporting eco-friendly transportation growth in India.

Gujarat Energy operates across the broader natural gas value chain. Its business segments cover gas trading, city gas distribution, exploration and production, power generation, and LNG import infrastructure. The company's city gas distribution network currently spans 44 districts across six states.

"Long-term bilateral energy agreements of this scale provide essential supply visibility for regional distributors like Gujarat Energy. By securing multi-year offtake commitments tied to transparent global indices like Henry Hub, energy companies can better manage price volatility and ensure steady resource availability for industrial and domestic consumers. This development highlights the growing cross-border collaboration in the natural gas sector." — Dr. Shishir Gupta, Founder & CEO, StartupLanes