ADNOC, Vitol ink 10-year LPG deal

Abu Dhabi - Mubasher: The Abu Dhabi National Oil Company (ADNOC) has signed an agreement with Vitol for the sale of up to 528,000 tonnes per year of liquefied petroleum gas (LPG) over the next 10 years.

The long-term agreement will expire on 31 December 2026, according to a press release.

The deal was signed on the sidelines of the International Petroleum Week (IP WEEK) in London by Abdulla Salem Al Dhaheri, ADNOC's sales and marketing director, and Russell Hardy, a member of Vitol’s executive committee.

“ADNOC has implemented a new strategy toward its LPG sales by negotiating longer-term contracts to cope with the oversupply market especially after the shale gas revolution,” said Al Dhaheri.

The agreement will create reliable, long-term value and maximise our gas resources to ensure the company is resilient to future fluctuations in global energy markets, he added.

"We are delighted to be working with ADNOC on this long-term supply agreement. LPG is an important clean fuel and this will support our growing downstream LPG business,” Hardy said.

Mubasher Contribution Time: 22-Feb-2017 20:51 (GMT)
Mubasher Last Update Time: 23-Feb-2017 06:47 (GMT)