Pakistan May Pay $17/Mmbtu for Qatari LNG

Pakistan is likely to pay up to $17/Mmbtu for the LNG it plans to import from Qatar, country’s Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi said Monday, reports local newspaper The Nation.

The minister said that impact of higher prices would be passed on to all categories of consumers except domestic.

However, he pointed negotiation with Qatar are on and no final decision on price has been taken yet. He also said that the government would work on getting LNG from Qatar at a cheaper rate, reports The Nation.

Last month, local Pakistani media reported that Qatar has agreed to supply Pakistan 400 million cubic feet gas per day (mmcfd) LNG by October 2014. 

On the issue of Iran-Pakistan (IP) gas pipeline, Abbasi reiterated that the government is committed to the project and it would not let such a situation arise that Iran could impose penalty on Pakistan in case of failure to start work on IP project, the newspaper reports.

The work on project has not progressed due to sanctions imposed by European Union and United States. The minister disclosed that two major equipment suppliers have refused to supply to Pakistan due to these sanctioned imposed on Iran. 

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