Pakistan Awards 10-Year License to Trafigura for LNG

[ghazi52]

Pakistan Awards 10-Year License to Trafigura for LNG Sale in Pakistan

Pakistan has awarded a 10-year license to an independent energy and commodity trading company, Trafigura Pakistan, for the purchase and sale of natural gas/regasified liquefied natural gas (RLNG) in the country.

This is the first license to be awarded in the private sector for LNG import. It aims to improve the availability of gas to different industries and also optimal utilization of the LNG terminal. This development can pave the way for the private sector to invest in this segment.

According to a senior official of the Oil and Gas Regulatory Authority (OGRA), the operations of the Geneva-headquartered entity, Trafigura, will give a boost to the fledgling state-run Sui Southern Gas Company (SSGC). That is because Trafigura will pay annual gas transportation charges to the SSGC in billions of rupees.

Apart from payment of transportation charges to SSGC, the company will also pay an annual fee of 0.25 percent of its annual turnover from the sale of gas pertaining to the most recent financial year to the regulator

 

[ghazi52]

 

[ali_raza]

@niaz sir ur take

@niaz sir ur take

i guess qatar is out @Khafee

 

[Khafee]

@niaz sir ur take


i guess qatar is out @Khafee

I think this is a parallel deal.

Nonetheless, on oil, I can tell you stuff, that would make peoples jaw hit the floor. On gas, sorry.

Sir @niaz May Allah give him a long healthy, and wealthy life, is our resident expert.

 

[niaz]

I understand Trafigura has purchased 51% into Admore Gas Pvt of Pakistan thru a subsidiary. Hence they are very much involved in Pakistan retail market.

http://pas.org.pk/swiss-oil-company...et-set-to-purchase-admore-in-40-million-deal/

LNG business is also part of their activity and Trafigura has previously supplied two cargoes and also has a stake in the second LNG Terminal.

"Pakistan oil company buys two LNG cargoes from Trafigura -traders
Pakistan Oil Company's tender document stipulates a cargo size of 143,000 cubic metres of LNG, plus or minus a five percent variation. Reuters | July 11, 2015, 11:22 IST"

ttps://energy.economictimes.indiatimes.com/news/oil-and-gas/pakistan-oil-company-buys-two-lng-cargoes-from-trafigura-traders/48029265?redirect=1


"Trafigura Sets Sights on FSRU for Pakistani LNG Imports


Commodities trader Trafigura plans to develop a second liquefied natural gas (LNG) import terminal project in Pakistan, for which it would need to deploy a Floating Storage Regasification Unit (FSRU).

“We plan to develop a second LNG import, also at Port Qasim, with a jetty, berth, and a second FSRU,” a Trafigura spokesperson confirmed to World Maritime News.

Further details on the FSRU-related investment and project timeframe are yet to be disclosed.

Trafigura already has a minority stake in the regasification project which uses BW Group’s Integrity FSRU in Pakistan.

In August 2016, BW signed a 15-year agreement with Pakistan GasPort Limited (PGPL) to provide LNG regasification services utilizing the new-build FSRU for the second Pakistan LNG terminal."

https://courses.lumenlearning.com/boundless-economics/chapter/measuring-output-using-gdp/

Recently I came across in the LNG news that 4 companies were in the running and that Trafigura was among these. Hence I am not surprised. This the additional quantity.

https://www.lngworldnews.com/four-companies-bidding-for-pakistans-long-term-lng-tender/

I have a feeling that another reason could also be political/tactical. Khaqan Abbasis being tried for LNG contract and PTI gov't may not want to do another long term deal with Qatar at this point in time, else they could have gone to Qatar and asked them to match the lowest bid as was done in the previous tender.

By the way, FRSU stands for 'Floating Storage & Re-gasification Unit"

 

[ali_raza]

I understand Trafigura has purchased 51% into Admore Gas Pvt of Pakistan thru a subsidiary. Hence they are very much involved in Pakistan retail market.

http://pas.org.pk/swiss-oil-company...et-set-to-purchase-admore-in-40-million-deal/

LNG business is also part of their activity and Trafigura has previously supplied two cargoes and also has a stake in the second LNG Terminal.

"Pakistan oil company buys two LNG cargoes from Trafigura -traders
Pakistan Oil Company's tender document stipulates a cargo size of 143,000 cubic metres of LNG, plus or minus a five percent variation. Reuters | July 11, 2015, 11:22 IST"

ttps://energy.economictimes.indiatimes.com/news/oil-and-gas/pakistan-oil-company-buys-two-lng-cargoes-from-trafigura-traders/48029265?redirect=1


"Trafigura Sets Sights on FSRU for Pakistani LNG Imports


Commodities trader Trafigura plans to develop a second liquefied natural gas (LNG) import terminal project in Pakistan, for which it would need to deploy a Floating Storage Regasification Unit (FSRU).

“We plan to develop a second LNG import, also at Port Qasim, with a jetty, berth, and a second FSRU,” a Trafigura spokesperson confirmed to World Maritime News.

Further details on the FSRU-related investment and project timeframe are yet to be disclosed.

Trafigura already has a minority stake in the regasification project which uses BW Group’s Integrity FSRU in Pakistan.

In August 2016, BW signed a 15-year agreement with Pakistan GasPort Limited (PGPL) to provide LNG regasification services utilizing the new-build FSRU for the second Pakistan LNG terminal."

https://courses.lumenlearning.com/boundless-economics/chapter/measuring-output-using-gdp/

Recently I came across in the LNG news that 4 companies were in the running and that Trafigura was among these. Hence I am not surprised. This the additional quantity.

https://www.lngworldnews.com/four-companies-bidding-for-pakistans-long-term-lng-tender/

I have a feeling that another reason could also be political/tactical. Khaqan Abbasis being tried for LNG contract and PTI gov't may not want to do another long term deal with Qatar at this point in time, else they could have gone to Qatar and asked them to match the lowest bid as was done in the previous tender.

By the way, FRSU stands for 'Floating Storage & Re-gasification Unit"

seems like qataris r actually out