Pakistan buys third spot LNG cargo in July as Qatar supply disruptions persist

State-run Pakistan LNG Ltd. (PLL) has awarded a spot liquefied natural gas (LNG) cargo to BP Singapore for delivery during the July 15-16 window at a price of USD 18.2345 per million British thermal units (MMBtu), a Ministry of Energy official told Platts on July 13.

Speaking on condition of anonymity, the official said PLL accepted BP Singapore's offer after receiving competing bids under its latest spot tender.

According to a tender document posted on the Pakistan LNG website on July 10, TotalEnergies submitted a bid of USD 18.72/MMBtu, while PetroChina International offered USD 18.5991/MMBtu.

"The state-run company has accepted BP Singapore's bid for the July 15-16 delivery window. This is the third spot LNG cargo purchased for the current month," the official said.

The Ministry of Energy said on July 6 that Pakistan has been facing intermittent LNG supplies from Qatar following disruptions linked to tensions in the Middle East, adding that normal contractual deliveries have yet to resume.

"Since the disruption to supplies from Qatar following tensions in the Middle East, cargoes have been arriving intermittently, and normal contractual deliveries have yet to resume," the official said.

Since May, Pakistan has received five LNG cargoes from Qatar and has purchased five spot cargoes, including the latest shipment scheduled to arrive next week, another Ministry of Energy official said on July 13.

According to the tender document, Pakistan plans to import one LNG cargo of about 140,000 cubic meters on a Delivered Ex-Ship (DES) basis at Port Qasim.

The latest purchase brings the number of spot LNG cargoes bought this month to three. The first cargo, delivered during the June 30-July 4 window, was purchased at USD 16.7372/MMBtu, while the second, delivered during the July 10-11 window, was bought at USD 17.37/MMBtu, according to PLL documents.

Pakistan has increasingly turned to the spot market to supplement long-term LNG supplies, with procurement decisions driven by domestic demand and international LNG prices.

The country typically imports nine to 10 LNG cargoes each month from Qatar under long-term supply agreements. However, the conflict in the Middle East has disrupted contractual shipments from the region, prompting Pakistan to secure additional supplies from the spot market.

Meanwhile, Pakistan's LNG import bill fell to USD 2.016 billion during the first 11 months of the fiscal year ended May 31, compared with USD 3.211 billion in the same period a year earlier, according to data released by the Pakistan Bureau of Statistics on June 16.