Abu Dhabi National Oil Company (ADNOC) on Monday said it has acquired an 11.7% stake in phase 1 of NextDecade’s Rio Grande LNG export facility and entered into LNG supply agreement.
Saudi Aramco and ADNOC are trying to exploit their fossil fuel resources while they can, and with demand for the chilled fuel expected to grow by 50% by 2030, they are tapping opportunities in the United States which has become the world’s biggest exporter of LNG as it sends record volumes to Europe.
Following pressure from climate activists, U.S. President Joe Biden in January paused approvals pending and future applications to export LNG from new projects.
ADNOC and NextDecade have also entered into a 20-year supply agreement for 1.9 million tons per annum (mtpa) of LNG.
(Reporting by Mrinalika Roy and Tanay Dhumal in Bengaluru)