First Qatari LNG to Reach Pakistan on March 26

Pakistan will receive first Qatari LNG on March 26, according to Pakistan Observer newspaper.

Sources have told the newspaper that Qatargas is selling the fuel at $8 to $9 per Million British Thermal Units (MMBTU).

After the cargo reaches Pakistan, the LNG will be re-gasified and, on March 31, injected into the Sui Southern Gas Company Ltd (SSGCL) network through Engro’s re-gasification terminal at Port Qasim.

The LNG will initially be provided to four Independent Power Producers (IPPs) in Punjab, including Kot Addu Power Company (Kapco). In the second phase of the operation, fuel will be used for Compressed Natural Gas (CNG) and in the third, it will be supplied to the fertiliser sector, Pakistan Observer reported.

The need to import LNG is a result of the relatively higher cost of power generation through furnace oil and diesel fuel.