Pakistan has purchased its seventh spot liquefied natural gas (LNG) cargo since QatarEnergy declared force majeure earlier this year, accepting a bid of $21.88 per million British thermal units (mmBtu) for delivery later this month.
The cargo was awarded by Pakistan LNG Limited (PLL) to TotalEnergies Gas and Power Limited after the company submitted the only bid in the latest international tender.
Why is Pakistan buying expensive spot LNG?
Pakistan has increasingly relied on the spot LNG market following supply disruptions under its long-term contract with QatarEnergy.
The disruptions began after QatarEnergy declared force majeure on March 4, 2026, following an attack on its Ras Laffan LNG production complex amid heightened regional tensions linked to the Strait of Hormuz.
The force majeure has since been extended through at least August 2026, reducing contracted LNG deliveries to Pakistan.
What are the details of the latest tender?
PLL invited bids on July 17 for one LNG cargo of 140,000 cubic metres for delivery during the July 27–28 window.
Only one bid was received from TotalEnergies Gas and Power Limited. The offer was declared technically and commercially compliant and was subsequently accepted at $21.88/mmBtu, the highest price Pakistan has paid for a spot LNG cargo since March 2026.
How many LNG cargoes has Pakistan imported?
With the arrival of the latest shipment, Pakistan will have imported 12 LNG cargoes during the current supply period.
The total includes seven spot cargoes purchased through international tenders and five government-to-government cargoes supplied by QatarEnergy under the long-term agreement.
What impact is the higher LNG price having?
The shift toward spot market procurement has significantly increased Pakistan’s LNG import costs as spot prices remain substantially higher than those under long-term supply contracts.
Officials said LNG-fired electricity generation currently costs around Rs35.5 per unit, raising concerns that sustained reliance on expensive spot imports could increase the country’s base electricity tariff in the coming months.
How important is LNG to Pakistan’s power sector?
According to energy sector data, LNG-fired power plants generated 1,480 gigawatt-hours (GWh) of electricity in June 2026, accounting for approximately 11.02% of Pakistan’s total electricity generation.
Authorities say continued spot purchases remain necessary to ensure uninterrupted gas supplies for power generation and industrial consumers despite the higher financial burden.