Pakistan Approves Emergency LNG Cargo at $18.4 per MMBtu to Support Power Sector
Islamabad — Pakistan has approved the purchase of an emergency liquefied natural gas (Liquefied Natural Gas) cargo at a price of $18.4 per MMBtu to support electricity generation, amid rising energy demand and limited supply options.
According to official sources, the decision was made by Pakistan LNG Limited after receiving multiple bids for urgent LNG shipments. Four offers ranging between $17.998 and $18.880 per MMBtu were evaluated for upcoming deliveries.
Energy trader TotalEnergies reportedly reduced its offer for an end-April cargo to $18.4 per MMBtu, which was ultimately accepted by Pakistani authorities to meet immediate power sector requirements.
However, the government rejected two bids for May deliveries from Vital Bahrain and OQ Trading, opting instead to delay purchases in anticipation of lower future prices. Officials expressed hope that conditions in the Strait of Hormuz would stabilize, potentially enabling Pakistan to secure four cheaper LNG cargoes from Qatar in the near future.
Energy experts note that LNG pricing fluctuations continue to pose challenges for Pakistan’s power sector, which relies heavily on imported fuel to meet electricity demand, especially during peak seasons.
