Qatar Petroleum entered into a new long-term Sale and Purchase Agreement (SPA) with Pakistan State Oil Company Limited (PSO) for the supply of up to 3 million tons per annum (MTPA) LNG to Pakistan.
Under the 10-year agreement, LNG deliveries to Pakistan’s world-class receiving terminals will commence in 2022 and continue until the end of 2031.
The SPA was signed in Islamabad by His Excellency Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of Qatar Petroleum, and Syed Taha, the Managing Director & CEO of PSO in a special ceremony held under the patronage and with attendance of H.E. Imran Khan, the Prime Minister of the Islamic Republic of Pakistan, senior Pakistani government officials and H.E. Sheikh Saoud bin Abdulrahman Al Thani, Qatar’s Ambassador to Pakistan.
His Excellency Saad Sherida Al-Kaabi welcomed the SPA signing and said: “We are delighted to enter into this new long-term agreement with Pakistan State Oil Company Limited and to continue our contributions towards meeting Pakistan’s increasing energy demand.”
Al-Kaabi added: “This agreement further extends Qatar’s long standing LNG supply relationship with Pakistan and highlights our commitment to meeting Pakistan’s LNG requirements. We are confident that the exceptional reliability of our LNG supplies will provide PSO with the required flexibility and supply security to fuel Pakistan’s impressive growth.”
He concluded: “With a well-established gas market and distribution system, Pakistan is a strategically important market for Qatar LNG. We are encouraged by Pakistan’s exceptional growth and excellent economic potential as well as by the prospect of it being one of the world’s fastest growing LNG markets.”
Pakistan currently has two operational LNG receiving terminals, namely the Engro LNG Receiving Terminal and Pakistan GasPort LNG Receiving Terminal, both of which, utilise Floating Storage and Regasification Units moored in Port Qasim. There are a number of additional terminals currently under consideration by various private sector players in the country.