Pakistan LNG to Open Bids for 240 LNG Shipments

Pakistan LNG Limited will open financial bids for the supply of 240 shipments of LNG on January 19, while contracts to successful bidders will be awarded on Jan 31, Business Recorder reported January 15 citing sources. Supplies are supposed to start by middle of 2017 with a nominal cargo capacity set at 140,000 m³.

PLL issued two separate tenders for the supply of 200mn ft³/d of LNG and in response a total 14 global LNG suppliers submitted their bids to be completed on January 31. The company December 20 opened technical bidding of two tenders issued last month. The mid-term tender covers a period of five years and calls for 60 shipments, while the long-term tender is for 15 years and 180 shipments, Business Recorder reported, adding that entire process of awarding the contract to winning companies will be completed in March 2016.

The LNG will be imported through the floating terminal being built by Pakistan GasPort at Port Qasim. The terminal, with a capacity to handle 600mn ft³/d, is expected to be operational by June 2017. Pakistan LNG will soon issue fresh tenders for the supply of another 400mn ft³/d of LNG, the newspaper report added.

Pakistan is importing LNG from Qatar under long term deal signed last year. Gunvor is also supplying the fuel under a 60-ship contract. Total supply stands at 300mn ft³/d from Qatar and 100mn ft³/d from Gunvor.

The south Asian nation already has an operational FSRU at Port Qasim. The Pakistan GasPort FSRU will be the second one. A third contract was signed in December by Global Energy Infrastructure Limited (GEIL) with Hoegh LNG. Pakistan has had a severe shortage of energy for the domestic economy and the government has shifted focus to importing LNG to meet the deficit. State-owned and private firms signed long term deals with Qatar last year as the exporting country found demand from its long-term customers less than expected. Work on building sufficient import infrastructure is also been taken up.

Shardul Sharma