India signed a $3 billion agreement on Monday to buy liquefied natural gas (LNG) from the United Arab Emirates, making the UAE its top LNG customer.
The deal was announced during a short two-hour visit by UAE President Sheikh Mohammed bin Zayed Al Nahyan to India where he held talks with Prime Minister Narendra Modi.
Under the agreement, Abu Dhabi’s state company ADNOC Gas will supply 0.5 million metric tons of LNG each year to Hindustan Petroleum Corporation for the next 10 years.
ADNOC Gas said the new contract takes the total value of its agreements with India to more than $20 billion.
The company added that India has now become the UAE’s largest customer and a key part of its long-term LNG strategy.
During the visit, both leaders also pledged to double bilateral trade to $200 billion within six years.
They agreed to work towards a strategic defence partnership to expand cooperation in security and defence matters.
India’s Foreign Secretary Vikram Misri said the two sides signed a letter of intent to move in this direction.
The UAE is currently India’s third-largest trading partner and Sheikh Mohammed was accompanied by a high-level delegation that included the defence and foreign ministers.
The regional context has also drawn attention as Pakistan signed a defence agreement with Saudi Arabia last year and is preparing a broader framework with Turkiye and Saudi Arabia.
However, Misri said India’s cooperation with the UAE does not mean it will get involved in regional conflicts.
He stressed that the partnership is focused on long-term strategic and economic interests rather than regional disputes.
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