Qatar Petroleum pens 10-year LNG supply deal with Pakistan

State-owned LNG giant Qatar Petroleum has entered into a new long-term deal to supply liquefied natural gas to Pakistan State Oil Company.

Under the sale and purchase agreement, QP will supply up to 3 million tons per annum of LNG to Pakistan for a period of 10 years, it said on Friday.

In addition, deliveries to Port Qasim, which currently hosts two LNG import facilities both utilizing FSRUs, will start in 2022.

This marks the second agreement signed between Qatari and Pakistani firms since 2016, when Qatargas signed a long-term deal to supply PSO with 3.75 mtpa of LNG.

Moreover, the new deal raises the total of long-term LNG supplies from Qatar to Pakistan to 6.75 mtpa, QP said.

“With a well-established gas market and distribution system, Pakistan is a strategically important market for Qatar LNG. We are encouraged by Pakistan’s exceptional growth and excellent economic potential as well as by the prospect of it being one of the world’s fastest growing LNG markets,” Qatar’s energy minister and chief executive of QP, Saad Sherida Al-Kaabi, said.

Second deal of the week

QP keeps piling up long-term deals and this marks the second it announced this week following the Vitol deal for Bangladesh.

The deals come just two weeks after QP’s final investment decision and the contract awards for its giant LNG expansion project.

The EPC award is part of the North Field East project and Chiyoda and Technip will build four “mega trains” with a capacity of 8 million tonnes per year in the Ras Laffan complex.

This first phase of the expansion project will increase Qatar’s LNG production capacity from 77 to 110 mtpa.

QP’s unit Qatargas already operates six LNG trains at Ras Laffan.

- Advertisements -

Most Popular

US to increase LNG supplies to UK under new deal

The US will boost supplies of liquefied natural gas (LNG) to UK terminals under a new deal revealed on...

Adani, TotalEnergies nearing completion of Dhamra LNG terminal in India

India's Adani and France's TotalEnergies have almost completed their Dhamra LNG import facility located in Odisha, on India’s east...

Trinidad, Shell, BP move forward with Atlantic LNG restructuring plans

Trinidad and Tobago has signed a restructuring deal with the shareholders of LNG producer Atlantic LNG, including Shell and...

More News Like This

QatarEnergy, ConocoPhillips ink long-term LNG deal to supply Germany

State-owned QatarEnergy has signed two long-term contracts with US energy firm ConocoPhillips to supply Germany with liquefied natural gas...

QatarEnergy inks huge LNG supply deal with China’s Sinopec

QatarEnergy has entered into a 27-year deal to supply LNG to China’s state-controlled energy giant Sinopec. The state-owned LNG giant...

Qatargas wraps up 30,000th Ras Laffan loading op

LNG producer Qatargas, a unit of QatarEnergy, said it had loaded the 30,000th ship from its operated terminals in...

Japan’s MOL inks deal with QatarEnergy for three new LNG carriers

Japan's MOL said it had signed a long-term charter contract for three newbuilding liquefied natural gas carriers with QatarEnergy,...