ISLAMABAD: Pakistan has floated a fresh tender to procure a spot LNG cargo for delivery in early September as a shortage of re-gasified liquefied natural gas (RLNG), particularly for power generation, continues to contribute to prolonged electricity outages across the country.
State-run Pakistan LNG Limited (PLL) on Sunday invited international suppliers to bid for 140,000 cubic metres of LNG, with a tolerance of plus or minus 5%, for delivery at Port Qasim between September 4 and 8, 2026.
The emergency procurement follows the government’s apology last week over extended power outages, with authorities attributing part of the load-shedding to insufficient LNG supplies for power generation.
PLL has sought bids on a Delivered Ex-Ship (DES) basis for delivery at the Pakistan GasPort Consortium Limited terminal at Port Qasim, Karachi.
The tender was issued on August 30, with bids due by 2pm on September 1. Technical offers will be opened at 2:30pm, followed by commercial bids from technically qualified suppliers at 3:30pm. PLL plans to award the contract on the same day, with bids remaining valid until 10pm.
The required cargo is to be delivered within a five-day window beginning September 4. The contract quantity has been set at 140,000 cubic metres, subject to the specified tolerance.
PLL will award the contract to the technically compliant bidder offering the lowest evaluated price in US dollars per million British thermal units (MMBtu). Suppliers are required to quote their commercial prices separately, rounded to four decimal places.
The procurement is being conducted under a single-stage, two-envelope procedure, requiring bidders to submit separate technical and commercial proposals.
To qualify, suppliers must demonstrate that they have delivered at least eight LNG cargoes during the preceding 24 months. Bidders are also required to submit a $300,000 bid bond, while the successful bidder must provide an unconditional performance guarantee equivalent to 10% of the total contract value.
No spot LNG purchases in August
The latest tender comes after Pakistan made no spot LNG purchases during August, with only one cargo arriving under the government’s long-term LNG agreement with Qatar.
In contrast, PLL procured five spot LNG cargoes in July, while no LNG cargo was received from Qatar under the government-to-government arrangement during that month.
The reduced availability of LNG has added pressure to Pakistan’s power sector, where gas-fired generation plays an important role in meeting electricity demand. The latest procurement is therefore aimed at addressing an immediate supply gap and supporting power generation as the country grapples with persistent load-shedding.
The tender highlights the growing importance of timely LNG procurement to maintaining RLNG supplies for the power sector and preventing further disruptions to electricity generation.
Story by Israr Rana
