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37 min ago 2 min read
Pakistan LNG has issued a call for emergency LNG supplies as it grapples with ongoing gas shortages from the Middle East crisis.
It is inviting firms to submit two spot shipments for delivery to Port Qasim in Karachi mid-to-late May, before Thursday’s deadline.
Pakistan has already received four bids from three global LNG suppliers for the delivery of three cargoes of spot LNG, according to S&P Global.
But the latest move indicates rising concern over shortages and the ability to meet electricity demand moving into summer. June is typically Pakistan’s hottest month.
Pakistan’s reserves are limited, making timely deliveries essential to meet domestic demand. Another complication is it relies heavily on imported helium from Qatar to meet industrial, medical and research needs.
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It’s a reminder of how quickly markets can change. Last summer the Pakistan government asked QatarEnergy as it forecast a supply surplus until 2031, which would cost it $5.64bn.
The new LNG supply call comes after the US halted , designed to facilitate commercial shipping through the Strait of Hormuz, after one day. President Trump said it had been stopped by “mutual agreement” after progress had been made towards a deal.
Speaking on UK radio, Sir John Sawers, former Chief of MI6 secret intelligence service (2009-2014), said it was difficult to make sense of the rapidly changing situation but the good news is both the Americans and the Iranians want to find a way out of the conflict.
“The Iranians have been badly damaged and the Americans are paying a costly political price,” he said.
“I think the Iranians will probably agree to some sort of management of the strait, but I wouldn’t be surprised if that involved vessels paying some form of toll or tariff to get through,” he said. “The Americans do want to get out of this conflict if they possibly can.”
