State-owned Pakistan LNG has extended the bid submission deadline for its previously announced tender seeking bids for a total of 72 LNG shipments.
According to revised tender documents posted on its website, Pakistan LNG extended the deadline from September 14 to October 3.
Pakistan LNG also made amendments in delivery periods, operation tolerance, demurrage clause, and tender timelines, it said.
The firm did not say why it extended the bid submission deadline.
Local media reports suggest that the reason behind the extension is a lack of interest from suppliers and very high prices.
Tender in two parts
Pakistan LNG issued a two-part tender seeking one LNG cargo per month.
Under the first part, Pakistan LNG is seeking 24 LNG cargoes each with a capacity of about 140,000 cbm from January 2023 to December 2024, according to the revised bid documents.
Moreover, the firm seeks 48 LNG cargoes for four years starting from January 2025 to December 2028 under the second part.
It is mandatory for the bidders to submit price proposals for both of the delivery periods. The successful bidder would be required to supply either 72 or 48 LNG cargoes, the firm said.
Pakistan LNG’s five-year deal with trader Gunvor for one cargo per month expired in July this year. The company also has a deal with Italy’s Eni until 2032.
Pakistan gets most of its supplies under long-term contracts from Qatar and on the spot market, but this year prices surged and Europe took most of the available spot supplies.
The JKM LNG price for October currently trades at about $59/MMBtu.
In July, Pakistan LNG did not receive any bids for a tender seeking ten spot LNG cargoes for July-September.
Prior to this, Pakistan did not manage to secure much-needed LNG supplies to fuel its power plants in three tenders.
