The Abu Dhabi National Oil Company (ADNOC), the state-owned oil company in the UAE, through its subsidiary XRG, has taken a step toward joining a proposed US$50 billion liquefied natural gas (LNG) project in Argentina with Eni and YPF.

The non-binding agreement outlines potential participation in the first phase of the Argentina LNG (ARGLNG) project, with an annual production capacity of 12 million tons. This integrated gas development aims to develop the Vaca Muerta field's resources for international markets.

The initial phase involves two floating gas liquefaction units (FLNGs). The entire project is planned for multiple phases, potentially exporting up to 30 million tons of LNG per year by 2030.

ADNOC's potential involvement is viewed as support for securing the final investment decision on the multibillion-dollar development.