ISLAMABAD: Pakistan is considering importing liquefied natural gas (LNG) from Qatar via India, which will receive the gas at its terminal and supply through a planned pipeline from its territory to Pakistan’s border.
“A proposal was under consideration for import of LNG through a terminal in India,” Secretary Petroleum Dr Waqar Masood told The Express Tribune here on Wednesday.
The government was also planning to import LNG directly from India through a pipeline, which India would lay over 60 km to Wagah border, he said. The LNG import from Qatar is separate from this programme.
“Officials of Pakistan and India will hold negotiations on the possibility of LNG trade between them here on Thursday (today),” said a senior official of the Ministry of Petroleum and Natural Resources.
An Indian team was to reach Islamabad on Wednesday night to discuss LNG trade, its prices and mode of transportation. India has offered supply of 200 million cubic feet per day (mmcfd) of LNG for a period of five years.
According to sources, India has planned to expand its pipeline network for LNG supply across the border. It has already laid a 100km pipeline for transport of LNG to Bhatinda, from where the pipeline will be extended to Pakistan’s Wagah border.
Indian LNG trading company Petronet Private Limited (PPL) has an LNG receiving and re-gasification terminal at Dahej, Gujarat with original handling capacity of 5 million tons per annum (mtpa). Later, the capacity was expanded to 10 mtpa.
The terminal meets around 20% gas demand of India. PPL has sourced 7.5 mtpa of LNG through a long-term contract with RasGas, Qatar with back-to-back sales arrangement with GAIL India, Indian Oil Corporation and Bharat Petroleum Corporation.
“India too faces gas shortage, estimated at over 4 billion cubic feet per day (bcfd) and the question arises whether it will be able to provide gas to Pakistan,” an energy expert pointed out.
India has also an oil refinery in Bhatinda from where it wants to export oil to Pakistan. It has offered to lay an oil pipeline to the border for export to Pakistan.
Published in The Express Tribune, August 30th, 2012.
COMMENTS (4)
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It is a ridiculous proposition given that it will cost USD 20 per mmbtu we can import ourselves cheaper in the same time but GOP continues to defer its decisions by not approving the proposals pending with it
Another rental power like scam which the govt is itching to lay on the masses!
This seems a bit strange considering Pakistan is closer to Qatar than India. Are reporters sure they didn't get it the other way around?
yes no need for processing of cheap Thar coal when we have a fair and short term solution - just add 10% more to cost