Following a reduction in re-gasified liquefied natural gas (RLNG) consumption, Pakistan has formally requested Qatar to reschedule the delivery of five LNG cargoes from 2025 to 2026 under a flexible clause, according to a senior official from the Ministry of Energy.
Authorities are also exploring the option of either canceling or deferring an additional 13 LNG cargoes scheduled for 2025 due to decreased demand amid a drop in GDP growth and industrial activity. The RLNG demand has recently declined by 150 million cubic feet per month, making the planned 18 LNG cargoes for 2025 surplus.
Prime Minister Shehbaz Sharif may discuss the rescheduling request during his upcoming visit to Qatar, while local authorities from Sui Northern, Mari Gas Company, PSO, Sui Southern, and Pakistan LNG Limited (PLL) are evaluating strategies for managing the 13 surplus cargoes based on existing agreements.
Pakistan currently imports 108 LNG cargoes annually from Qatar through two government-to-government (GtG) agreements, bringing in nine cargoes monthly (five at 13.37% of Brent and four at 10.2% of Brent), along with an additional cargo under a term agreement with ENI. In total, Pakistan imports 10 LNG cargoes monthly.
According to the official, no contractual clause allows Qatar to halt or redirect 13 extra cargoes in 2025, nor permits Pakistan to sell them in the open market. If Qatar resells these cargoes at a lower rate, Pakistan State Oil (PSO) would cover the loss. Authorities are hopeful, however, that Qatar will agree to reschedule the five cargoes to 2026.
In preparation for the peak winter season, the government has secured 12 LNG cargoes each for December 2024 and January 2025—10 from Qatar and two from ENI in December, and 11 from Qatar and one from ENI in January. Additionally, the authorities shifted a September ENI cargo to December 2024. Only six cargoes from Qatar are planned for November 2024, with one moved to December and two to January 2025 to adjust supply for winter demand.
