ISLAMABAD: Pakistan LNG Limited (PLL) is negotiating supply of LiquefiedNatural Gas from State Oil Company of Republic of Azerbaijan (SOCAR) afterthe two countries signed an Inter-Governmental Agreement (IGA) last year.
“A Price Negotiating Committee (PNC) has been constituted with approval ofEconomic Coordination Committee of the Cabinet to discuss LNG pricingissues between PLL and SOCAR,” official sources told APP.
Following the agreement, they said, Pakistan had nominated Pakistan StateOil Company Limited (PSOCL), Pakistan LNG Limited (PLL), Pakistan LNGTerminal Limited (PLTL), Oil and Gas Development Company Limited (OGDCL),Pakistan Petroleum Limited (PPL) for negotiating sale and purchaseagreement for petroleum products, LNG supply and establishment of LNGterminals. While, the Azerbaijani side nominated the SOCAR for the purpose.
The sources said draft of sale and purchase agreement for petroleumproducts had been prepared by PSO and negotiations in this regard wereexpected to start with SOCAR shortly.
Answering a question, they said world major players were showing keeninterest to invest in LNG sector of Pakistan after seeing immense businesspotential of the commodity here.
“LNG is the cheapest source of fuel and the world’s major players areshowing interest to invest in LNG sector of Pakistan by setting up theirown terminals and developing transmission network to supply the commodityto consumers,” they said.
Before LNG import, they said Pakistan was importing one million tonfertilizer per year and now it was exporting over six million tonsfertilizer, besides entire power generation sector was getting smooth gassupply. – APP