Pakistan Turns to Global Market for LNG

Pakistan has stepped up efforts to secure liquefied natural gas as energy pressures continue to mount. Pakistan LNG Limited has issued a fresh tender to purchase liquefied natural gas (LNG) cargoes from the international market.

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PLL seeks three LNG cargoes

According to an official advertisement, the company has invited bids from global suppliers for three LNG cargoes. Each cargo will carry around 140,000 cubic metres of gas. Authorities want delivery on a delivered-ex-ship basis at Port Qasim.

PLL has specified clear delivery windows. The first shipment should arrive between April 27 and 30. The second cargo should reach between May 1 and 7. The third delivery is expected from May 8 to 14. The tender will close on April 24, leaving a short timeframe for bids.

Energy shortage drives urgent move

Officials say the tender reflects growing urgency in Pakistan’s energy sector. The country continues to face a gap between demand and supply. LNG imports play a crucial role in filling this gap.

Pakistan depends heavily on gas to generate electricity and run industries. However, domestic gas production continues to decline. This trend has increased reliance on imported LNG.

Authorities aim to secure spot cargoes quickly to stabilize supply. Without immediate imports, the risk of prolonged power outages remains high.

Government entity leads procurement

PLL operates as a public sector company under the Ministry of Energy. It functions as a subsidiary of Government Holdings Private Limited. The company manages the entire LNG supply chain from procurement to delivery.

Officials say PLL handles importing, storing, transporting, and distributing LNG across Pakistan. It also ensures supply to end users, including power plants and industries.

This centralized role makes PLL a key player in maintaining energy stability. Any disruption in its procurement process can impact the entire system.

Azerbaijan offers LNG support

In a positive development, SOCAR has expressed readiness to supply LNG to Pakistan. Company officials said they can provide cargoes as soon as Islamabad places a request.

SOCAR highlighted a framework agreement signed in 2025. This agreement allows Pakistan to purchase LNG cargoes under a faster process. Officials believe this arrangement can help reduce delays in procurement.

Pakistan may consider this option to secure immediate supplies. Quick deals could help bridge the current shortfall.

Global factors add pressure

Pakistan’s LNG challenges also link to global market conditions. The country faces price volatility due to international supply disruptions. The ongoing impact of the Ukraine war continues to influence LNG availability and costs.

Fluctuating prices make it difficult for Pakistan to secure affordable cargoes. At the same time, competition from other buyers adds further pressure.

These factors have forced authorities to explore multiple supply options. The current tender reflects this broader strategy.

Load shedding continues amid shortages

Energy shortages have already started affecting consumers. Sardar Awais Ahmad Khan Leghari recently confirmed that load shedding will continue during peak hours.

He said LNG supply remains disrupted due to a force majeure declared by Qatar. This situation has reduced available gas for power generation.

The country currently faces a shortfall of around 3,400 megawatts. Lower hydropower generation has worsened the crisis. Reduced rainfall and irrigation demand have limited water releases from reservoirs.

Government explores alternative measures

Authorities have started using furnace oil to manage electricity demand. They have also delayed maintenance of nuclear plants to keep power generation stable.

Officials say these measures offer temporary relief. However, long-term stability depends on consistent LNG supply.

The government continues to work on multiple fronts to address the crisis. Securing LNG cargoes remains a top priority.

Critical weeks ahead for energy sector

The coming weeks will prove crucial for Pakistan’s energy outlook. Successful bids in the current tender can ease immediate pressure. Delays or high prices could deepen the crisis.

Authorities remain under pressure to act quickly. Consumers and industries continue to face uncertainty as demand rises.

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