QatarEnergy’s unit submits lowest bid in Pakistan LNG tender

A unit of LNG giant QatarEnergy has submitted the lowest bid for one LNG cargo in a tender to supply Pakistan with two shipments in March.

Two companies took part in the tender, including QP Trading and Enoc Singapore, Pakistan LNG’s evaluation report dated February 22 shows.

QP Trading submitted the most competitive bid for the March 10-11 delivery.

The firm offered a price of $25.1200/MMBtu while Enoc offered a price of $26.1625/MMBtu, the document shows.

There were no bids for the March 2-3 delivery.

Pakistan launched this tender last week after term suppliers Gunvor and Eni canceled deliveries of two March LNG cargoes, local media reports said.

Prior to this tender, Pakistan LNG sought two spot LNG cargoes in November. QP Trading and Vitol Bahrain submitted the lowest bids in this tender with prices at about $30/MMBtu.

State-owned Pakistan LNG did not issue spot tenders since then as the JKM spot LNG price continued to trade above $30/MMBtu.

The JKM spot LNG price surged to $56.326/MMBtu in October due to the gas price crisis in Europe and winter restocking demand among Asian end-users.

Pakistan has been increasing its LNG imports over the years and the country plans to build several more terminals to cope with gas shortages for power generation.

Port Qasim currently hosts two LNG import facilities both utilizing floating storage and regasification units.

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