By Micah Jonah
January 20, 2026
In a move set to reshape energy and trade relations, India has signed a $3 billion deal to buy liquefied natural gas (LNG) from the United Arab Emirates, making the UAE India’s top LNG supplier. The agreement was reached during a brief visit to India by UAE President Sheikh Mohammed bin Zayed Al Nahyan, who held talks with Indian Prime Minister Narendra Modi.
Under the 10-year contract, ADNOC Gas, the Abu Dhabi state energy company, will supply 0.5 million metric tons of LNG annually to Hindustan Petroleum Corporation Limited (HPCL). The deal brings the total value of ADNOC Gas’s contracts with India to over $20 billion, highlighting the UAE’s growing role in India’s energy strategy.
The leaders also pledged to double bilateral trade to $200 billion within six years and signed a letter of intent to explore a strategic defence partnership, signaling closer cooperation between the two nations. Indian officials emphasized that the defence pact does not imply involvement in regional conflicts, even as Pakistan strengthens its own security ties with Saudi Arabia and Turkey.
The historic deal underscores India’s efforts to diversify energy sources and fortify international partnerships, while the UAE cements its position as a critical trade and energy partner in Asia.
