Pakistan Secures Second Qatar LNG Cargo Through Hormuz After Iran Deal
Pakistan is set to receive its second liquefied natural gas (LNG) cargo from Qatar this month, following a deal that allowed the shipment to safely pass through the Strait of Hormuz. The cargo cleared the strait over the weekend and is expected to arrive in Pakistan by Tuesday.
This marks the second time Pakistan has negotiated safe passage for an LNG shipment with Iran, as it struggles to secure gas supplies amid a severe energy crisis. The country relies heavily on Qatari term supply but has been forced to turn to expensive spot purchases due to disruptions caused by the war in Iran.
Pakistan has been paying top dollar for LNG supply this summer, with some shipments coming from Qatar and the United Arab Emirates managing to transit the Strait of Hormuz or engage in ship-to-ship transfers outside the strait. This uptick in LNG cargoes signals that exporters are intensifying efforts to push supplies through the chokepoint.
The latest Qatari LNG shipment is expected to ease Pakistan's energy crunch and spare it at least one expensive spot purchase, which would have pushed its power generation costs even higher.