‘Non-stop winter flow of gas to fertiliser sector’

Minister says govt ordered two LNG cargoes for December, one for January

ISLAMABAD:

Caretaker Minister for Petroleum, Muhammad Ali on Tuesday said the government was committed to ensuring uninterrupted gas supply to all fertiliser plants throughout the current winter season to maximise fertiliser production.

“In the current year, it has been decided that fertiliser plants will operate at full capacity without any closure during the winter months to achieve maximum fertiliser output,” he said while addressing a press conference.

He specifically emphasised that Fatima Fertiliser and Agritech, which traditionally close for three months during winter, would remain operational at full capacity this year.

“All plants, including Fatima Fertiliser and Agritech, will be running at full capacity throughout the current winter season,” he affirmed, adding, the decision to keep operating all the plants at their maximum capacity was aimed to ensure a consistent and sufficient local supply of fertiliser to farmers.

Responding to a question, minister said the government had ordered two Liquefied Natural Gas (LNG) cargoes for December and one for January to meet domestic gas requirements.

However, he acknowledged that the country currently faced insufficient gas production to meet demand as local gas reserves are depleting by approximately 10% annually. At the same time, consumption continued escalating with each passing day, he added.

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The minister also assured that the government was actively working to improve the infrastructure for Liquefied Petroleum Gas (LPG) supply across the country.

He mentioned ongoing efforts to revise the LPG policy, with certain proposed changes, and hinting that it would soon be presented to the cabinet for approval.

Regarding the exploration sector, he acknowledged that inefficient policies of the past led international companies to exit from Pakistan due to non-payment.

However, he assured that the government was working to vitalise the exploration of new hydrocarbon reservoirs and local gas production to meet domestic requirements. Responding to another query about the removal of the Managing Director of Saindak Metals Limited (SML), Ali clarified that the decision was made in line with the prevailing laws and service rules of the company, under the instructions of the Islamabad High Court.

Published in The Express Tribune, December 13^th, 2023.

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