Sunday November 07, 2021

Pakistan Decides To Buy LNG Cargo At Highest Ever Rate

ISLAMABAD: In a bid to avert the looming gas crisis in the country, the Pakistan LNG Limited (PLL) has decided to procure an LNG cargo at the highest ever price of $30.6 per million British thermal units (mmbtu), it emerged Sunday.

Sources privy to the matter said that the state-owned company, PLL, had issued an emergency tender on November 2, seeking bids for spot cargoes after two LNG trading companies, ENI and GUNVOR, backed out of providing two LNG term cargoes due to be delivered on November 19-20 and November 26-27.

The PLL received five bids with higher prices ranging from $29.8966 to $31.0566 per mmbtu from international LNG trading companies for two spot LNG cargoes to be delivered in the last 11 days of the current month, the sources added.

The PLL has decided to buy an LNG cargo at $30.6 mmbtu, while efforts are underway to buy one more LNG cargo to meet the gas demand in the country.

Meanwhile, efforts are also underway to convince the LNG companies who have backed out of the agreements signed with PLL to review their decision in the face of skyrocketing gas prices in the international market, the sources added.

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