ADNOC’s XRG widens fuel and LNG portfolio with Argentina and Caspian Sea deals

XRG, a subsidiary of Abu Dhabi National Oil Firm (ADNOC), which comprises Abu Dhabi Pattern Maintaining Firm (ADQ) and global funding company Carlyle, has taken steps to accomplish larger its footprint by firming up agreements to reach encourage aboard a proposed liquefied natural fuel (LNG) mission in Sierra Grande Norte, on Argentina’s Atlantic flit, and Southern Gasoline Hall (SGC) CJSC, which delivers fuel sources from the Azerbaijani sector of the Caspian Sea to the European market.

XRG has confirmed the signing of a joint vogue agreement with YPF and Eni to near the Argentina LNG (ARGLNG) trim-scale mission designed to create 12 million tons per One year (mtpa) of LNG capability and beef up Argentina’s emergence as a prolonged-term global LNG supplier.

This comes months after the trio inked a non-binding agreement for the built-in upstream and midstream fuel mission designed to create the sources of the onshore Vaca Muerta area and wait on world markets. The vogue is expected to export up to 30 million tonnes of LNG per One year in reasonably reasonably about a unbiased phases by 2030.

The $50 billion Argentina LNG mission entails fuel production, processing, transportation, and liquefaction for export thru two floating fuel liquefaction gadgets (FLNG) with a capability of 6 mtpa, an connected to approximately 9 billion cubic meters of fuel per One year for every, to boot to the valorisation and export of associated liquids.

Golar LNG’s MKII FLNG unit, chartered for the mission, will work in the Gulf of San Matías, offshore Argentina, where this could per chance honest operate in proximity to the FLNG Hilli. Section 2 encapsulates the building of a 10 mtpa onshore modular liquefaction plant, which is expected to be enlarged with two trains as fragment of Section 3 to reach up to 30 mtpa.

Following its first strategic U.S. funding, which enabled it to score an curiosity in Section 1 of NextDecade Corporation’s Rio Grande LNG mission in Texas, XRG signed a non-binding heads of phrases in November 2025 to assemble an curiosity in Southern Gasoline Hall CJSC (SGC). The company has now inked a gross sales and dangle agreement (SPA) with the Ministry of Economy of the Republic of Azerbaijan to operate an equity stake in SGC.

The completion of the deal is area to satisfaction of prerequisites precedent, including worn regulatory approvals. The ADNOC-led player’s funding in SGC is considered as a foremost step forward in the rising partnership between the UAE and Azerbaijan, advancing shared objectives to beef up regional energy security, deepen financial cooperation, and create strategic world energy infrastructure.

The SPA agreement used to be signed in the presence of Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates (UAE), and Ilham Aliyev, President of the Republic of Azerbaijan, between Dr. Sultan Al Jaber, Government Chair of XRG, and Mikayil Jabbarov, Minister of Economy of the Republic of Azerbaijan, Chairman of the Supervisory Board of SOCAR.

The Southern Gasoline Hall tag chain is perceived to be a key export community supplying natural fuel sources from the Azerbaijani sector of the Caspian Sea to the markets in Azerbaijan, Georgia, Türkiye and Europe thru the South Caucasus Pipeline (SCP), the Trans Anatolian Pipeline (TANAP), and the Trans Adriatic Pipeline (TAP).

This built-in community is believed to enhance the reliability and diversification of Europe’s energy presents whereas reinforcing Azerbaijan’s role as a prolonged-term and depended on energy accomplice.

Jabbarov critical: “This agreement reinstates Azerbaijan’s role as a depended on energy accomplice to world markets and helps our prolonged-term vision for sustainable financial vogue in collaboration with our strategic partners. Along side our partners, we are building the foundations for enhanced regional connectivity and future boost.”

SGC encompasses natural fuel production sources and a 3,500km pipeline community from the Azerbaijani sector of the Caspian Sea, thru Georgia and Türkiye to Southern Europe, with the unique capability to articulate up to 26 billion cubic meters of natural fuel per annum.

Dr. Al Jaber commented: “The Southern Gasoline Hall is a essential energy link that helps balance, financial boost and energy security and it strengthens our commitment to investing in high quality, prolonged-term infrastructure that delivers lasting tag and global growth.”