Pakistan rushes for spot LNG amid Hormuz disruption

May 10, 2026 (MLN): Pakistan LNG Limited (PLL) has issued a fresh tender seeking two spot liquefied natural gas (LNG) cargoes, as uncertainty over contracted Qatari supplies persists due to shipping disruptions around the Strait of Hormuz.

According to the tender issued on Saturday, PLL is seeking two LNG cargoes of 140,000 cubic meters each on a Delivered Ex-Ship (DES) basis at Port Qasim, Karachi.

The first cargo is scheduled for delivery between May 12 and 16, while the second cargo is required for May 24 to 28. The deadline for bid submission is May 11.

The latest move comes just two days after the state-run buyer rejected earlier spot bids despite receiving competitive offers from global suppliers.

For the first delivery window, BP Singapore had submitted the lowest bid at $17.2848 per million British thermal units (mmBtu), followed by PetroChina at $17.69 per mmBtu and Vitol Bahrain at $17.84 per mmBtu.

For the second cargo, TotalEnergies offered the lowest price at $16.98 per mmBtu, while SOCAR Trading quoted $17.2108 per mmBtu, PetroChina International offered $17.49 per mmBtu, and OQ Trading submitted the highest bid at $18.58 per mmBtu.

The bids were reportedly rejected amid expectations that easing tensions in the Middle East could lead to the reopening of the Strait of Hormuz and the resumption of delayed LNG supplies from Qatar.

However, continued restrictions on vessel movement through the vital shipping route appear to have pushed authorities back into the spot market as electricity demand rises during the peak summer season.

Pakistan’s LNG procurement activity has intensified in recent weeks following disruptions to regional energy trade linked to the Iran conflict and ongoing geopolitical tensions in the Middle East.

The country relies heavily on long-term LNG supply agreements with Qatar, while spot purchases are typically used to bridge short-term supply gaps.

Pakistan’s power generation demand has risen sharply due to soaring temperatures, with LNG-based plants playing a key role in meeting electricity needs.

The renewed spot buying also comes as the country faces an electricity shortfall following the closure of several LNG-based power plants, increasing pressure on authorities to secure additional fuel supplies.

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