ISLAMABAD: Pakistan has received its third liquefied natural gas (LNG) cargo in October, with the vessel Shandong Redwood arriving on October 28 and berthing at the Engro Elengy LNG terminal, offering some relief to the country’s gas supply system amid heightened tensions in the Strait of Hormuz.
The LNG vessel arrived from Qatar at a 13.37 per cent of Brent and berthed alongside Engro Elengy Terminal Limited’s (EETL) floating storage and regasification unit (FSRU), Exquisite, for regasification. The cargo was reportedly arranged with the assistance of Iranian officials amid regional tensions.
The latest arrival follows two earlier LNG shipments this month. The first cargo, Al-Areesh, arrived on October 13, while the second, Ejnan, reached Pakistan on October 21 and berthed at the Pakistan GasPort Limited (PGPL) terminal for regasification.
The arrival of the third cargo provides some relief, but Pakistan faces a much tougher challenge in the coming months as domestic gas demand rises with the onset of winter.
The authorities concerned are expected to arrange three to four LNG cargoes in November. However, the procurement challenge will intensify in December and January, when Pakistan will need nine and 11 cargoes, respectively, to help meet its energy requirements.
During the peak winter months, domestic gas demand in SNGPL’s jurisdiction, covering Punjab and Khyber Pakhtunkhwa, is projected to increase from around 500 million cubic feet per day (mmcfd) to 1,500 mmcfd. In SSGC’s jurisdiction, covering Sindh and Balochistan, demand is expected to rise from approximately 300 mmcfd to between 500 and 600 mmcfd.
According to the daily system update, SNGPL’s system line pack stood at 4,695 million cubic feet (mmcf) on October 29, down from 4,702 mmcf a day earlier. City gas loads increased slightly to 727 mmcf from 725 mmcf.Meanwhile, RLNG offtake by the power sector increased to 206 mmcf from 202 mmcf, while gas consumption in the fertiliser sector rose to 91 mmcf from 90 mmcf.
