PLL receives bids up to 15.88 to 19.30pc of Brent for supply of LNG

| Under long-term agreement, Qatar is providing LNG at 13.37pc of Brent

Islamabad   -  Pakistan LNG Limited (PLL) has received bids from 15.88 to 19.30 per cent of Brent for the supply of LNG in December which is far higher than the Qatar gas which is 13.37 of Brent, it is learnt reliably here.  Pakistan LNG Limited (PLL) received between 15.88-19.30 per cent of Brent by six bidders for its six-cargo tenders closed Monday for December delivery, official source said.

It is worth to mention here that under a long term agreement struck by the PML (N) government Qatar is providing LNG to Pakistan at 13.37 per cent of Brent. Under the agreement Qatar is supplying 500 mmcfd to Pakistan doe 15 years. As par the agreement after 10 years, LNG price can be reviewed. Usually the prices are lower in long term agreements than the spot market.

The companies who have submitted their bids for December LNG supplies includes Gunvor, Socar, Vitol,  DXT Commodities, Trafigura and ENI, official source told The Nation. For December 3-4, 2020, Socar has submitted bids of 16.84 per cent of Brent, Vitol 17.28 per cent and trafigura 19.29 per cent of Brent. For 08-09 December Gunvor submitted bids of 18.25 per cent of Brent, Vitol 18.64 per cent, DXT commodities 18.99 per cent, and Trafigura has submitted bids of 16.98 per cent of Brent. The average for 03 to 09 December LNG supply is 17.02 per cent of Brent.

For 13-14 December delivery of LNG Gunvor submitted bids of 17.7503 per cent of Brent and Vitol 16.9720 per cent of Brent.  For 18-19 December, Gunvor has submitted bid of 17.4553 per cent of Brent, Vitol 16.551 per cent and Trafigura 18.99 per cent of Brent.

For 24-25 December Gunvor has submitted bids of 17.1899 per cent of Brent, Socar 17.9777 per cent, Vitol 15.9759 per cent and Trafigura 16.7930 per cent. Similalry for 30-31 December Gunvor submitted bids of 16.8899 per cent of Brent, Vitol 15.8761 per cent,Tafigura 17.0440 per cent and ENI 16.0983 per cent. The average bid for December 13 to 31 is 16.2043. Pakistan total re-gasification capacity is around 1.2 bcfd and beside supply from Qatar LNG is also being purchased from the open market. Some of the naïve advisors of the present government were talking about the cancellation of agreement with Qatar but later the idea was shelved. Pakistan LNG Limited (PLL) is a public sector company and is a wholly owned subsidiary of Government Holdings (Private) Limited (GHPL) which is 100 per cent owned by the Government of Pakistan (GOP). PLL imports LNG at LNG terminal located at Port Qasim and supplies re-gasified LNG (RLNG) into the network of gas utility companies.

 

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