ISLAMABAD: A senior official from the Ministry of Energy told The News that Pakistan had formally requested Qatar to reschedule the importation of five LNG cargoes that were scheduled for 2025, and that Pakistan would now receive those cargoes in 2026 under the flexible clause.
The official stated, “However, authorities are also trying to firm up the plan to shelve import of 13 more LNG cargoes that are to arrive in Pakistan in 2025, or Qatar may halt the export of 13 cargoes to Pakistan.” These cargoes were supposed to arrive in Pakistan in 2025.
The official continued, ” Since RLNG consumption has begun to fall by 150 million cubic feet (MMCF) per month, the 18 LNG cargoes in 2025 will turn into the additional ones primarily due to the country’s slower GDP growth and decreased industrial activity.”
He said that Prime Minister Shehbaz Sharif might address the issue of rescheduling five LNG cargoes during his upcoming trip to Qatar.
Additionally, the authorities want Qatar to refrain from sending 13 RLNG cargoes in 2025. However, in accordance with the agreements, authorities from Sui Northern, Mari Gas Company, PSO, Sui Southern, and PLL have begun brainstorming strategies for dealing with the 13 cargoes.
In accordance with two GtG agreements, Pakistan acquires 108 LNG cargoes from Qatar. Under the terms, the nation is allowed to import nine LNG vessels per month, with four cargoes below 10.2% of Brent and five cargoes below 13.37 percent of Brent per month. Through a term agreement with the ENI, one cargo is imported. In total, the nation imports ten LNG cargoes per month in this manner.
However, the official stated that there is no provision in the agreements allowing Qatar to halt 13 additional cargoes as a supplier or permitting Pakistan to sell 13 cargoes on the open market.
“Assuming that Qatar sells the LNG freight bound to arrive at Pakistan in the open market underneath the cost concurred with Pakistan, the misfortune would be paid by PSO on each freight. However, the concerned authorities hoped Qatar would agree to move five LNG cargoes that were scheduled to arrive in 2025 under the flexible clause to 2026.
In response to a question, the official stated that the authorities have completed their plan for the upcoming winter, which stipulated that 12 LNG cargoes would be available in December 2024 and January 2025, respectively, during the peak winter season.
“For the month of December, we have arranged 10 cargoes from Qatar and two from ENI. Additionally, Qatar would provide 11 LNG cargoes and one ENI 1 for January 2025,” the official stated, adding: Pakistan LNG Limited (PLL) was able to shift its one cargo from ENI to December 2024, which was supposed to arrive in September 2024, so we have adjusted the cargoes to meet the peak winter demand.
“Similarly, out of a total of nine cargoes, the authorities managed only six cargoes from Qatar in November 2024. Therefore, two cargoes from Qatar have been moved to January 2025 and one to December,” the official stated.
