Pakistan receives second Qatar LNG cargo in October, aims to avoid costly spot purchases

Gas supplies from latest cargo have begun entering national system. Spot-market LNG prices can reach $30 per MMBtu: ministry sources. Govt trying to avoid expensive spot-market purchases amid supply concerns. Pakistan has received its second liquefied natural gas (LNG) cargo from Qatar this month, with gas supplies from the shipment already being injected into the national system, Ministry of Energy sources said on Thursday. The arrival comes as the government seeks to maintain gas supplies while avoiding expensive purchases from the international spot market, where LNG prices can reach $30 per million British thermal units (MMBtu), the sources said. LNG imported under Pakistan's existing agreement with Qatar costs around $14 to $15 per MMBtu, roughly half the reported spot-market price, they added. The ministry sources said the government was making every effort to avoid buying LNG at higher spot-market rates and was relying on contracted Qatari supplies to meet the country's energy requirements. Pakistan received its first LNG cargo of October on October 14, when the vessel Al-Areesh berthed at Engro's LNG terminal and regasification began, restoring supplies of around 150 million cubic feet per day to the national gas network, according to earlier reports. The second October shipment follows continued uncertainty over LNG imports amid disruptions to regional energy supplies and shipping routes. QatarEnergy declared force majeure in March following damage to its Ras Laffan facility during the regional conflict, affecting contracted supplies to several customers, including Pakistan. The interruptions have raised concerns about Pakistan's ability to meet rising gas demand during the coming winter. The country relies on imported LNG to supplement domestic gas production and supply fuel to power plants and other consumers. Pakistan has been exploring additional cargoes to strengthen supplies, but higher international prices could increase the cost of imports if contracted shipments remain insufficient. The latest cargo provides some relief, although the overall supply outlook remains dependent on the availability of further shipments and the country's ability to secure LNG at affordable rates.