KARACHI: Pakistan LNG Limited (PLL) has issued a fresh tender seeking a single cargo of liquefied natural gas, marking the state-run importer’s third emergency spot-market purchase attempt in July alone, as continued turmoil around the Strait of Hormuz keeps squeezing the country’s access to contracted Qatari supply.
PLL is seeking 140,000 cubic metres of LNG (with a tolerance band spelled out in the bid documents), for delivery on a Delivered Ex-Ship (DES) basis at Port Qasim, Karachi, between 21–22 July 2026.
This is the third such tender PLL has floated this month, following purchases for the June 30–July 4 and July 10–11 delivery windows. Earlier tenders on June 27 and July 1 sought cargoes for those windows, with BP Singapore the sole bidder for the June 30–July 4 slot at $16.7372 per MMBtu. TotalEnergies then won the July 10–11 slot, selling a cargo to PLL for $17.37 per MMBtu, roughly double the rate under Pakistan’s long-term Qatari contracts.
The disruptions trace back to a force majeure declared in March after an attack on Qatar’s Ras Laffan LNG complex, its largest production facility.
Pakistan’s supply troubles have persisted since a wider Iran-related conflict began in late February, halting normal traffic through the Strait of Hormuz. Even after a ceasefire, QatarEnergy has extended force majeure to some European and Asian buyers into August-September, meaning Pakistan is unlikely to receive its full contracted volumes despite the strait reopening.
Pakistan’s long-term government-to-government agreements price LNG at 13.37% and 10.2% of the Brent crude benchmark, far cheaper than recent spot deals. The growing reliance on costlier spot cargoes is expected to raise the cost of RLNG-based electricity generation and add pressure on consumer power tariffs.
Pakistan has secured nine LNG cargoes since the war with Iran began, five from QatarEnergy under the long-term contract and four from the spot market. The most recent spot vessel, ARADA, arrived July 4 at $16.7372 per MMBtu, following earlier shipments from TotalEnergies (Seapeak Magellan, delivered April 30) and Oman’s BW Helios (delivered June 9).
The Strait of Hormuz remains a key conduit for roughly a fifth of global LNG supply, and Pakistan’s shrinking local gas production has deepened its reliance on imports leaving PLL to keep returning to the spot market on short notice each time a contracted Qatari cargo is delayed or cancelled, at a steep premium to its long-term pricing.
