Exxon, QP, Total Join Pakistan LNG Project
Qatar Petroleum, Total, Mitsubishi, ExxonMobil and Norway-based shipowner Hoegh LNG February 7 announced their commitment to take forward an LNG import project in Pakistan in collaboration with local developer Global Energy Infrastructure Limited (GEIL).
Hoegh LNG said the five-company consortium would work as a consortium with GEIL to develop the terminal, but no shareholdings were detailed.
Hoegh LNG signed a contract December 15 with GEIL for the LNG import project in Port Qasim near Karachi, Pakistan. It will be the first private LNG import terminal in Pakistan, although it will be the third floating import terminal to be sited at Port Qasim.
Saad Sherida Al-Kaabi, (Credit: Qatar Petroleum)
The project will include a floating storage and regasification unit (FSRU), a jetty and a pipeline. The FSRU will have a minimum regasification capacity of 750mn ft3/d when it enters service in 2018.
"Forming this consortium with Total, Mitsubishi, ExxonMobil and Hoegh LNG represents a significant milestone that complements Pakistan's successful effort to meet the growing demand for clean-burning natural gas in this important market,” Saad Sherida Al-Kaabi, QP's president and CEO said February 7.
In July 2016, QP, Exxon and Total-owned subsidiary Qatargas-2 signed an agreement to supply 1.3mn mt/yr to GEIL for Pakistan over 20 years, starting 2018, with provisions allowing the volume to be increased to 2.3mn mt/yr.
As Pakistan's LNG imports rise, focus is on building requisite infrastructure. Recently, Excelerate Energy said it will deliver its second FSRU to Pakistan following negotiations with a consortium comprising Engro, Fatima, and Shell. It is expected to be the country's 4th such floating terminal.
Shardul Sharma