Pakistan's Gas Prices Soar 32% Amid Geopolitical Tensions

The Oil and Gas Regulatory Authority (OGRA) has approved a significant hike in Re-gasified Liquefied Natural Gas (RLNG) prices for August, marking the largest increase in RLNG's decade-long history. The rates have surged by 32 percent to $25.83 per mmBtu for Sui Northern Gas Pipelines Limited (SNGPL) and $25.09 per mmBtu for Sui Southern Gas Company Limited (SSGCL), with a retail price of around Rs7,204 per mmBtu.

The decision follows the procurement of five imported LNG cargoes from the spot market after Pakistan failed to secure shipments from Qatar amid geopolitical tensions. This latest hike comes on top of a 15 percent increase in July, when rates stood at $19.52 per mmBtu for SNGPL and $18.63 per mmBtu for SSGCL.

The OGRA has also increased liquefied petroleum gas (LPG) prices by 5.4 percent or Rs12.89 per kg, effective August 1, with costs rising to Rs254.32 per kg from Rs241.43 per kg in July.