The LNG will be supplied from ADNOC Gas’ Das Island liquefaction facility. (Image source: ADNOC Gas)

ADNOC Gas plc and its subsidiaries have signed a US$450mn three-year LNG supply agreement with Japan’s JERA Global Markets, building on the strong UAE-Japan relationship and aligning with ADNOC’s ambitions to strengthen its position in the global LNG market

The LNG will be supplied from ADNOC Gas’ Das Island liquefaction facility, which has a production capacity of around six million tons per annum (mtpa) and has shipped over 3,500 LNG cargoes worldwide since beginning operations.

Robust UAE-Japan relationship

Fatema Al Nuaimi, chief executive officer of ADNOC Gas, said, "This agreement builds on the robust UAE-Japan energy relationship and decades of collaboration between ADNOC Gas and JERA solidifying our shared commitment to ensuring energy security and enabling a lower-carbon future. We will continue to support Japan’s energy needs and reinforce our position as a reliable partner in the global LNG market.”

Kazunori Kasai, chief optimization officer, JERA Co., Inc. and chairman, JERA Global Markets, said, “As a utility-backed trader, JERA Global Markets’ purpose is to provide energy security to the communities that we serve. This supply agreement with our long-standing partner ADNOC Gas reflects the active measures we take to ensure that our global portfolio remains diverse, flexible, and competitive.”

ADNOC Gas’ Das Island LNG facilities have been supplying LNG to Japanese energy companies for 48 years. This latest agreement, building upon a similar 2023 supply agreement, further cements the legacy of collaboration between the UAE and Japan, reflecting ADNOC Gas' role as a preferred LNG supplier to key global markets.

As a lower-carbon energy source, LNG plays a critical role as a transition fuel. ADNOC has ambitions to significantly grow its LNG capacity and strengthen its position as a global LNG player, shipping LNG to a growing range of international markets in Asia, Europe and beyond. Earlier this month, ADNOC Gas awarded contracts for facilities to transport feedstock to the Ruwais LNG project, which it is developing on behalf of ADNOC. When fully operational, the Ruwais LNG plant will more than double ADNOC Gas’ current LNG production capacity to more than 15 million tonnes per annum (mtpa). More than 7MTPA of its production capacity is already committed to international customers under long-term agreements.

Energy companies are increasing their investments in cybersecurity. (Image source: DNV)

Energy companies are boosting investment in cybersecurity, seeing it as the greatest current threat to their business, according to DNV Cyber’s latest Energy Cyber Priority report

Two in three energy professionals (65%) say their leadership views cybersecurity as the greatest current risk to their business, according to the report, with 71% expecting their company to increase investment in cybersecurity this year.

Energy companies are making progress in cybersecurity, with growing attention being paid to employee training and securing operational (OT systems). Challenges remain, however, as the energy transition creates new attack opportunities, threat actors become more sophisticated and digital technologies potentially increase exposure to cyber risk.

Of the 375 energy professionals surveyed globally for the research, three-quarters (75%) report that their organisation has stepped up the focus on cybersecurity because of growing geopolitical tensions over the last year, with the threat from cyber-criminal gangs and malicious insiders becoming increasing concerns.

“Achieving the energy transition is central to society at large. The whole energy sector – companies and governments alike – are working together on this massive challenge, which is increasingly complex because the technologies underpinning the transition are largely digital and scaling rapidly. With this comes cybersecurity risks,” said Ditlev Engel, CEO, Energy Systems at DNV. “Cybersecurity should be a priority for all players in the energy sector to achieve the climate goals and guarantee energy security, as geopolitics make the world more hostile and uncertain.”

“Even as the energy industry becomes more mature in its cybersecurity posture, it must continue to strengthen and adapt to remain resilient against a growing number of increasingly sophisticated threats. From attacks on supply chains, recruitment of malicious insiders, and the use of AI, adversaries are upping their game and the energy industry needs to keep up,” said Auke Huistra, director of Industrial and OT Cybersecurity at DNV Cyber.

Five challenges

DNV Cyber’s new report argues that energy companies must double their cybersecurity efforts to overcome five principal challenges:
• securing physical infrastructure, to protect against increasing attacks on OT Systems;
• overcoming complex cybersecurity supply chains, as threat actors go to suppliers and sub-suppliers to gain access to companies operating large assets, and 34% of those surveyed suspecting undisclosed breaches among their suppliers.
• increasing employee vigilance, as adversaries are constantly changing their approach and targeting employees with more sophisticated tactics
• embedding new skills in the workforce to prepare for more sophisticated attacks and address skills and knowledge gaps; and
• embracing AI: while 47% of cybersecurity professionals fear they will fall behind unless they harness AI, generative AI enables cyber criminals to launch more convincing scams. Two-thirds of energy professionals (66%) agree that attackers’ use of AI in phishing attacks has made it more difficult to determine whether emails are genuine. 

“To further strengthen their cybersecurity, energy companies should – as a priority – broaden their efforts to secure OT and support greater security and transparency in the supply chain,” said Huistra. “They should reset and redesign cyber’s relationship with the business, take a more innovative approach to training, and build understanding of AI.”

The fabrication yard will form part of a wider maritime and offshore cluster which designed to support the energy industry. (Image source: NMDC Energy)

Abu Dhabi-based NMDC Energy has inaugurated an advanced fabrication yard in Ras Al Khair, Saudi Arabia, which will provide offshore facilities fabrication as well as onshore modularisation

The 400,000 sq m facility incorporates the latest fabrication processes, and is equipped with the latest features in automation and digitalisation. The fabrication yard will form part of a wider maritime and offshore cluster which is designed to support the energy industry. It is hoped that it will encourage industry by boosting growth, investment, trade, and employment within the Ras Al Khair region and beyond.

The yard was officially inaugurated at the iktva Forum & Exhibition 2025, which took place at the Dhahran Expo between 13 and 16 January 2025. The event showcased the Kingdom’s progress in localisation and saw the signature of 145 agreements and Memoranda of Understanding (MoUs) valued at around US$9bn, which are expected to advance the localisation of goods and services in Saudi Arabia, boosting local content in the supply chain and fostering collaboration.

Important market

Saudi Arabia is an important market for NMDC Energy, accounting for 38% of its total revenue. The company has made a significant contribution to the Kingdom’s localisation efforts, entering into a long-term agreement for offshore development with Aramco in 2016, which includes a commitment to Saudi workforce development. The company plans to continue its support for localisation efforts to raise its iktva score of 39% in 2025 to 51% by 2028.

NMDC Energy H.E. Mohamed Hamad Ghanem Hamad Almehairi, chairman of NMDC Energy, said, “The inauguration of Ras Al Khair represents a bold and exciting new chapter for energy cooperation for both the UAE and Saudi Arabia, which will bring vast tangible benefits to both nations. We’re proud that NMDC Energy will serve as an engine of economic development by powering priority industries, enabling businesses, and advancing solutions across the energy value chain. We foresee vast opportunities to collaborate and to pursue projects in areas that will maximise the value of the resources in both our nations, as well as ensure that the UAE and KSA remain leaders in the regional energy transition.”

Eng. Yasser Zaghloul, CEO of NMDC Group, added, “Saudi Arabia is pushing forward at a relentless speed to develop efficient, competitive, and responsive port and manufacturing ecosystems that will enhance the nation’s economic growth to ensure it keeps pace with global developments. At NMDC, we’re playing a pivotal role in these efforts, and we’re helping to strengthen UAE-KSA collaboration across vital sectors.”

LNG production growth is set to accelerate in 2025. (Image source: Adobe Stock)

Global natural gas markets are set to remain tight in 2025 as demand continues to rise and supply expands more slowly, according to the IEA’s latest quarterly Gas Market Report

Global gas demand reached a new all-time high in 2024 and is expected to expand further in 2025, primarily supported by fast-growing markets in Asia, according to the report.

The report finds that markets moved towards a gradual rebalancing last year after the supply shock that followed Russia’s invasion of Ukraine in February 2022. However the global gas balance has remained fragile, with the supply side remaining tight and geopolitical tensions continuing to fuel price volatility. While the halt of Russian piped gas transit via Ukraine on 1 January 2025 should not pose an imminent supply security risk for the European Union, it could increase the EU’s LNG import requirements and further tighten the market this year, the report notes.

Tight supply

Global gas demand rose by 2.8%, or 115 billion cubic metres (bcm), in 2024, while below-average growth in liquefied natural gas (LNG) output kept supply tight, and extreme weather events exacerbated market strains. Global LNG supply grew by 2.5% (or 13 bcm) in 2024 – well below its average growth rate of 8% between 2016 and 2020. Project delays, together with feedgas supply issues at certain legacy producers (including in Angola, Egypt, and Trinidad and Tobago), dampened LNG production growth. However, it is set to accelerate to 5%, or just over 25 bcm, in 2025 amid the expected start and ramping up of several large LNG projects, notably in North America.

Due to tighter market fundamentals, growth in global gas demand is forecast to slow to below 2% this year, with Asia expected to account for over half of the rise in global gas demand. 

Natural gas continues to displace oil and oil products in various sectors, supported by policies, regulations and market dynamics. In the Middle East, for example, oil-to-gas switching in the power sector continued in 2024. In road transport, the rapid scaling up of LNG-fuelled trucks in China – with record sales in 2024 – has contributed to lower diesel demand there. The use of LNG as a bunkering fuel is also expected to increase amid more stringent emissions regulations for shipping.

“Gas market fundamentals have improved over the past year, but for now, we are still seeing significant tightness due to rising demand and muted growth in LNG capacity. Heightened geopolitical uncertainty adds to the risks,” said Keisuke Sadamori, the IEA’s Director of Energy Markets and Security. “While international cooperation on gas supply security has expanded since the recent energy crisis began, greater efforts are needed from responsible producers and consumers, who should strengthen their collective efforts to reinforce the architecture for safe and secure global gas supplies.”