Pakistan has received its third liquefied natural gas (LNG) cargo from Qatar in October, offering some relief to the country’s energy supply system as regional tensions continue to create uncertainty around shipments through the Strait of Hormuz.
The vessel, Shandong Redwood, arrived in Pakistan on October 28 and berthed at the Engro Elengy LNG terminal. The shipment was delivered to Engro Elengy Terminal Limited’s (EETL) floating storage and regasification unit (FSRU), Exquisite, for processing and supply into the country’s gas network.
The cargo was reportedly priced at 13.37 percent of Brent crude oil. Its arrival is particularly important as Pakistan prepares for higher gas consumption during the winter season, when household heating and cooking requirements are expected to put additional pressure on the supply system.
According to reports, the shipment was also arranged with the assistance of Iranian officials amid heightened regional tensions.
Third Qatar LNG Cargo Reaches Pakistan
The arrival of Shandong Redwood marks Pakistan’s third LNG delivery from Qatar during October.
The first shipment, carried by the vessel Al-Areesh, arrived in Pakistan on October 13. The second cargo, Ejnan, reached the country on October 21 and berthed at the Pakistan GasPort Limited (PGPL) terminal for regasification.
The latest shipment was received at the Engro Elengy terminal, adding another supply to Pakistan’s imported gas network.
The cargoes have arrived at a time when uncertainty surrounding the Strait of Hormuz has raised concerns over the movement of energy shipments. The waterway is an important route for international energy trade, including LNG exports from the Gulf.
The reported assistance of Iranian officials in arranging the latest shipment highlights the diplomatic and logistical challenges involved in maintaining energy supplies amid regional tensions.
Although the third delivery provides some immediate support, Pakistan still faces significant procurement requirements in the coming months.
Pakistan Expected to Arrange More LNG Cargoes in November
Authorities are expected to arrange between three and four LNG cargoes during November to help meet the country’s energy requirements.
However, the procurement challenge is expected to become more difficult in December and January, when Pakistan may need nine and 11 cargoes, respectively.
These requirements reflect the expected increase in gas consumption during the coldest months of the year.
Securing the required shipments will be important for maintaining supplies to households and other major consumers. Any disruption or delay in deliveries could make it more difficult for authorities to manage the seasonal increase in demand.
Pakistan’s reliance on imported LNG makes the situation particularly sensitive to international prices, shipping conditions and the availability of contracted supplies.
Winter Gas Demand Could Triple in Northern Pakistan
The expected increase in gas consumption is particularly significant for areas supplied by Sui Northern Gas Pipelines Limited (SNGPL), which serves Punjab and Khyber Pakhtunkhwa.
Domestic gas demand across SNGPL’s service area is projected to increase from approximately 500 million cubic feet per day (mmcfd) to around 1,500 mmcfd during peak winter.
This would represent a threefold increase in demand, creating additional pressure on the company’s supply and distribution network.
The situation is also expected to become more challenging in areas covered by Sui Southern Gas Company (SSGC), which supplies Sindh and Balochistan.
In SSGC’s service areas, domestic gas demand is projected to rise from around 300 mmcfd to between 500 and 600 mmcfd during the winter season.
The increase across both distribution networks highlights the importance of securing sufficient gas supplies before peak winter demand arrives.
Strait of Hormuz Tensions Add to Energy Supply Concerns
Regional tensions around the Strait of Hormuz have added another layer of uncertainty to Pakistan’s LNG procurement plans.
The route is strategically important for energy shipments from the Gulf, and disruptions could affect the movement of cargoes and delivery schedules.
Pakistan’s reported reliance on assistance from Iranian officials to facilitate LNG shipments has drawn attention to the diplomatic arrangements required to maintain energy imports during the current situation.
Any prolonged disruption to shipping routes could complicate efforts to secure the cargoes required for the winter season.
The government will therefore need to manage both domestic demand and international supply risks while arranging additional shipments for the coming months.
Pakistan Faces a Critical Winter Gas Supply Period
The arrival of the third Qatar LNG cargo in October is a positive development for Pakistan’s gas supply system, but it does not eliminate the challenges ahead.
With requirements expected to rise to nine cargoes in December and 11 in January, timely procurement and delivery will remain essential.
The projected increase in domestic demand could also place pressure on gas distribution companies, particularly in Punjab and Khyber Pakhtunkhwa, where winter consumption is expected to rise sharply.
The government will need to ensure that imported LNG is available when required and that the existing gas network can handle the additional demand.
For households and businesses, the availability of sufficient gas supplies will be especially important during the winter months.
As Pakistan prepares for the seasonal increase in consumption, the country’s ability to secure LNG cargoes on time will play a major role in determining how effectively it manages its winter energy requirements.
Also read: Pakistan Gets Delayed Qatar LNG Cargo
