ISLAMABAD: Federal Minister for Petroleum Shahid Khaqan Abbasi has said that the 200 mmcfd of imported Liquefied Natural Gas (LNG) will be injected into the national gas system from March 31 as 170 mmcfd gas has already inserted into the network.
Addressing a press conference, the minister said that the government, as per commitment, is going to add 200 mmcfd LNG into system imported from Qatar which would be enhanced to 400 mmcfd from December 2015. He added that LNG has been imported by private sector by back to back LCs with Pakistan State Oil (PSO).
He also said that Pakistan and Qatar would hold talks to initial LNG supply deal on April 1 in Doha. He said that Japan had inked LNG supply deal with Qatar linking price at 15 per cent of Brent.
“We are going to secure better deal than other countries despite being new buyer,” he said. “We had talked to other countries like Indonesia, Nigeria for import of LNG but Qatar was best option for Pakistan,” he said, adding that five attempts were made by previous governments to import LNG but failed.
Abbasi said that present government followed unbundled LNG project and even Qatar had appreciated efforts of Pakistan to set up LNG terminal on fast track basis. He said India had capacity of dealing 14 million tons annual LNG import and Pakistani terminal would have 2.8 million tons per annum LNG import. He said that IP gas pipeline project was delayed due to sanction and gas through TAPI would not reach before 2019.
He also welcomed Indian offer for cheaper LNG import and said that India had demanded higher price earlier. “Indian government has exempted LNG from taxes to export,” he said adding that India would have to lay pipeline with cost of $300 million,” he said adding that India wanted fixed services which resulted higher price.
He said that second ship of LNG would reach Karachi in mid of April. He said that LNG was the only fast track option for Pakistan to overcome energy crisis. He said that LNG had been allocated to power sector as it would add 10 per cent additional power in the national grid.
