Pakistan is set to receive energy relief as tankers carrying Qatari LNG are expected to arrive this month. The first shipment could arrive as soon as Thursday, according to Bloomberg.
The country has faced challenges following Qatar’s declaration of force majeure on LNG exports due to Iranian attacks that damaged its Ras Laffan facility. Consequently, Pakistan has had to turn to the spot market for LNG, often at significantly higher prices. Previously the primary LNG supplier under long-term contracts, Qatar has faced recent difficulties as well.
In recent months, Pakistan has issued several LNG delivery tenders, but prices have surged, with one recent offer reaching $27 per million BTUs—three times higher than pre-war prices. High prices have led to some tenders being rejected and new ones being issued, aiming to secure LNG at more reasonable rates.
With power generation costs increasing due to gas shortages, Pakistan has experienced extended rolling blackouts, sometimes lasting for 24 hours in certain regions. The arrival of Qatari LNG cargoes is anticipated to provide some relief to the ongoing energy crisis in the nation.
