Due to reduced demand for re-gasified liquefied natural gas (RLNG), Pakistan has formally asked Qatar to reschedule five LNG cargoes initially set for 2025 to now arrive in 2026 under a flexible clause in their agreements. This request, as confirmed by a senior official from Pakistan’s Ministry of Energy, stems from a 150 million cubic feet per month decrease in RLNG consumption, largely attributed to slower GDP growth and reduced industrial activity.
The Ministry of Energy is also exploring the possibility of shelving 13 additional cargoes for 2025. Prime Minister Shehbaz Sharif is expected to discuss the matter with Qatari authorities during his upcoming visit to Qatar. Pakistan currently imports a total of 108 LNG cargoes annually under two agreements with Qatar, receiving nine cargoes monthly—five priced at 13.37% of Brent and four at 10.2% of Brent.
However, the agreements lack provisions allowing Qatar to halt the 13 additional shipments or for Pakistan to sell them on the open market. If Qatar were to sell these shipments below the agreed price with Pakistan, the Pakistan State Oil (PSO) would incur losses. Nonetheless, officials are hopeful Qatar will agree to reschedule the five LNG shipments for 2026.
For the winter season, Pakistan has secured a supply of 12 LNG cargoes for each December 2024 and January 2025 to meet high seasonal demand.
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