ISLAMABAD   -  Owing to gas shortage caused by the dry docking of Engro’s Floating Storage Regasification Unit (FSRU), the government has decided to maximise the use of Furnace Oil (LSFO/HSFO) and High-Speed Diesel (HSD) in power generation and has directed the refineries to maximise their production capacity in this period.

As per the RLNG Shortfall Mitigation Plan during Dry Docking released by the government on Tuesday, during dry docking from 29.06.2021 to 05.07.2021 there will be reduction in LNG supplies from first terminal. However, supplies from second terminal will continue to be at its contracted capacity of 600 mmcfd, said official spokesman of the Ministry of Energy.

During first two days of complete closure of first terminal, the second terminal will provide maximum supplies. The total supply from both the LNG terminals will gradually ramp-up to 824 mmcfd from 4th July, 2021.The normal supplies from first terminal will resume from 5th July, 2021 and total supply from both terminals will be 1,152 mmcfd.

During the less availability of RLNG period, the gas companies are authorised to manage their load as per government approved gas supply priority order whereby uninterrupted supplies will be made to domestic, commercial, power and export industry.

In order to meet the shortfall, gas companies are curtailing supplies to Industry (Non-Export), Fertilizer, CNG and Cement in order of approved priority till 5th July, 2021. Some additional indigenous gas supplies are also being injected in system during this period. The power generation demand during the dry docking will also be catered through Furnace Oil (LSFO/HSFO) and High-Speed Diesel (HSD).

Petroleum Division has directed the refineries to maximise their production capacity in this period and these have increased their regular supplies for the power plants. The PSO/Oil industry has been asked to maximise supplies to power sector.

In order to augment indigenous supplies the PSO has been directed to float tenders for 2 cargoes of HSFO, which are expected to deliver during 12-20/7/2021 and 12-31/7/2021 respectively. PSO has also tendered 2 cargoes of LSFO, expected to deliver product during 7-15/7/2021 and 16-25/7/2021 respectively. Oil and gas exploration and production (E&P) companies have been asked to enhance production within possible limits.