Pakistan has issued its first spot tender for liquefied natural gas since December 2023, as supply disruptions linked to regional conflict strain the country’s energy system.
Pakistan LNG Limited is seeking bids from international suppliers for three LNG cargoes of approximately 140,000 cubic metres each, with delivery scheduled between April 27 and May 14 at Port Qasim in Karachi. The tender closes on April 24, according to an official notice released on Thursday.
Federal Energy Minister Awais Leghari said the procurement is aimed at meeting rising electricity demand and reducing reliance on more expensive fuels such as diesel and furnace oil. He added that uncertainty remains over the timing of additional LNG cargoes from Qatar, Pakistan’s primary supplier.
The move follows recent power shortages that triggered widespread outages, driven by reduced hydropower generation and disruptions in LNG supply.
Pakistan has not received LNG shipments loaded after late February, when escalating conflict in the Middle East disrupted shipping through the Strait of Hormuz, a key route for global energy flows. The waterway typically handles a significant share of global LNG trade, including exports from Qatar, which supplied most of Pakistan’s 6.64 million metric tons of LNG imports last year.
Meanwhile, Azerbaijan’s state energy firm SOCAR has indicated readiness to supply LNG to Pakistan under a framework agreement signed in 2025, allowing expedited purchases.
The tender comes after Islamabad cancelled 21 LNG cargoes for 2026–27 under a long-term agreement with Eni, anticipating slower demand growth and increased reliance on renewable energy. However, recent supply shocks have exposed vulnerabilities in that strategy.
Global LNG markets have also tightened, with Asian spot prices rising sharply since late February amid supply concerns, though prices have eased slightly in recent days.
Officials say LNG remains critical for meeting peak summer demand and preventing further power outages as Pakistan navigates ongoing supply uncertainty.