News and Articles

• HPCL has signed a ten year LNG supply agreement with ADNOC Gas subsidiary ALNG
• LNG will be received at HPCL’s 5 MMTPA Chhara regasification terminal in Gujarat
• Supplies will support refineries, city gas networks, and sectors like fertilisers and power
• The agreement supports India’s goal of increasing the share of natural gas in energy use
• The deal strengthens long-standing energy ties between India and the UAE

Hindustan Petroleum Corporation Limited has entered into a long-term liquefied natural gas supply arrangement with Abu Dhabi Gas Liquefaction Company, a subsidiary of ADNOC Gas. The agreement covers a ten year period and marks a significant step in strengthening HPCL’s natural gas sourcing strategy as India works to raise the share of gas in its overall energy mix. The partnership brings together one of India’s largest refining and marketing companies with a major global gas supplier that operates across the full gas value chain.

Under the sale purchase agreement, LNG supplies will be delivered to HPCL’s 5 million tonne per annum regasification terminal at Chhara in Gujarat. The terminal was dedicated to the nation in September 2025 and forms a central part of HPCL’s expanding gas infrastructure. The facility enables HPCL to handle long-term LNG volumes and distribute regasified gas across multiple demand centres in the country.

The contracted LNG volumes will support fuel requirements across HPCL’s refineries and its growing city gas distribution network. Supplies will also cater to gas demand from key consuming sectors including fertilisers, power generation, and petrochemicals. By securing stable long-term LNG supply, HPCL strengthens its ability to serve these sectors while complementing its existing portfolio of petroleum products.

The agreement supports India’s broader objective of increasing the role of natural gas as a transition fuel in the national energy basket. Long-term LNG contracts help ensure supply stability and predictable pricing at a time when global energy markets remain sensitive to geopolitical developments and shifting trade flows. For HPCL, the arrangement enhances supply security while supporting planning certainty for downstream customers.

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The deal also reflects the growing energy partnership between India and the United Arab Emirates. India remains the largest LNG customer of the UAE, and this agreement further deepens bilateral ties in the energy sector. ADNOC Gas, through its liquefaction subsidiary, continues to expand its presence in long-term supply markets across Asia by supporting large and reliable buyers such as HPCL.

HPCL operates refining assets on both the eastern and western coasts of India and holds equity stakes in joint venture refineries including HMEL and MRPL. The company is also developing a greenfield refinery project in Rajasthan. Its downstream reach includes a wide retail and LPG distribution network, aviation fuel stations, bulk storage facilities, and an extensive pipeline system that supports nationwide fuel movement.

In addition to its refining and marketing operations, HPCL has steadily expanded its gas related infrastructure. Along with its partners and subsidiaries, the company has invested in LNG storage and regasification, LPG import terminals, bottling plants, and city gas distribution authorisations across multiple geographical areas. These assets position HPCL to meet rising gas demand from households, transport, and industry.

ADNOC Gas operates large scale gas processing and fractionation facilities and supplies a significant share of the UAE’s domestic gas needs while serving customers in more than twenty countries. Its integrated operations allow it to manage gas supply from feedstock intake to international sales, making it a key supplier in long-term LNG markets. The agreement with HPCL reinforces its role as a major partner in India’s gas supply chain.