Gas Processing & LNG is Produced by Gulf Publishing Holdings LLC



Pakistan LNG cancels huge 10-year LNG tender

State-owned Pakistan LNG has cancelled a tender to buy liquefied natural gas over a 10-year period and may turn to the spot market instead, two sources familiar with the matter told Reuters.

The company issued the tender in early June to import 240 LNG cargoes of 140,000 cubic metres each for delivery over 10 years for the country’s second LNG terminal.

But it has decided to cancel the tender due to inadequate demand for the super-chilled fuel, one of the sources said.

“(The company) has decided not to proceed with technical evaluation and opening of commercial offers as there is no demand against this tender,” the source added, declining to be identified.

“So for now, (the company) has decided to stop the process of long-term commitment until it receives long-term demand for LNG,” the source said.

Pakistan is expected to be a significant growth driver in global LNG demand with the cabinet recently approving five consortiums to progress with their LNG terminal plans.

Pakistan LNG’s cancelled tender had been keenly watched in the industry. The company was expected to publish the lowest prices offered by bidders, providing a valuable insight into the opaque LNG market, which is characterised by closed bilateral trades, private long-term supply agreements and an over-the-counter spot market.

Italy’s Eni, China’s PetroChina, Azeri state oil company SOCAR and commodities trader Trafigura had placed offers into the tender, sources had told Reuters. (Reporting by Jessica Jaganathan; editing by Louise Heavens and Jason Neely)


Copyright © 2019. All market data is provided by Barchart Solutions. Futures: at least a 10 minute delay. Information is provided 'as is' and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.

                                  CMEGroup                                     Icelogo

FEATURED COLUMNS

Editorial Comment
-Adrienne Blume
Global gas is facing a demand hit from the coronavirus pandemic and a structural oversupply in the LNG market following the startups of new LNG export projects in Australia and the U.S.
Industry Focus: Russia Accelerates Fight For Global Gas Export Market Share
-Eugene Gerden
Russia aims to ramp up its efforts to gain more gas export market share this year, despite an unfavorable business environment and growing pressure from major competitors.
Regional Focus: South Africa’s transport strategy to shape country’s gas sector
-Shem Oirere
South Africa’s Gas Utilization Master Plan outlines how the gas sector will be developed. As the country proceeds with the plan,


Best Practices in Supporting Front Line HPI Operations Remotely in Response to Covid-19

Register Now

To ensure employee safety, HPI companies had to quickly pivot to a remote support model with many subject matter experts (SMEs) and engineering staff working remotely supporting front line, sequestered critical operations and field operators.

What are the best practices and lessons learned from this new remote operational support model? What have been technologies and work processes that are enabling effective and efficient remote operational support? Is this the “new norm” going forward even when the impact of Covid-19 abates? If not, how will remote support of critical operations be changed?

If this topic and questions are of interest to you and your organization, please attend this special HPI webinar with a panel of leading industry customer experts who will discuss their perspectives. Attendees will have the opportunity to ask questions for the panelists.

May 18, 2020 10:00 AM CDT

Register Now

 

Please read our Term and Conditions, Cookies Policy, and Privacy Policy before using the site. All material subject to strictly enforced copyright laws.
© 2020 Gulf Publishing Holdings LLC.