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Pakistan Declines May LNG Spot Bids, Betting on Qatari Supply Return

The choice signals a preference for cheaper term cargoes over costly stopgaps despite rising outage risks.

Overview

  • Pakistan LNG Limited did not award its emergency tender for two liquefied natural gas cargoes for May delivery after naming BP Singapore and TotalEnergies as the lowest offers.
  • Traders told Bloomberg the government expects regional tensions to ease so Qatari shipments can pass the Strait of Hormuz again.
  • The pause raises the risk of a deeper gas shortfall and longer power cuts as hotter weather pushes up electricity demand.
  • The tender drew seven offers priced between $16.98 and $18.58 per mmBtu for the May 12–14 and May 24–26 delivery windows, and PLL’s board can still accept or reject bids.
  • Pakistan leans on long‑term Qatari supply that costs about half the current spot price, and it recently took a spot cargo near $18.40 per mmBtu sourced from Sabine Pass.