Pakistan Gets Another Batch of LNG from Azerbaijan

ISLAMABAD: Pakistan LNG Limited (PLL) has secured a second LNG cargo from Azerbaijan for delivery in February 2024 under Government-to- Government Framework Agreement.

Ministry of Energy (Petroleum Division) and Pakistan LNG Limited (PLL) have announced the successful procurement of a second LNG cargo from the State Oil Company of the Azerbaijan Republic (SOCAR) under the Government-to-Government Framework Agreement between PLL and SOCAR, Petroleum Division said in a statement here Wednesday.

The cargo is scheduled for delivery in February 2024, further strengthening the energy partnership between Pakistan and Azerbaijan. Interestingly, the Petroleum Division has refrained from sharing the price of the LNG procurement from SOCAR. In July 2023, PLL and SOCAR signed a landmark Framework Agreement under the Government-to-Government arrangement, marking a significant milestone in the bilateral energy cooperation between the two countries. 

The Framework Agreement stipulates that SOCAR may offer 1 LNG cargo per month to PLL, while PLL’s acceptance of these offers is subject to the demand for LNG in Pakistan and commercial considerations, ensuring a reliable and consistent supply of LNG to meet the country’s growing energy demands.

The successful delivery of the first cargo under this agreement in December 2023 demonstrated the commitment of both PLL and SOCAR to fulfilling the terms of the Framework Agreement and fostering a mutually beneficial partnership.

The statement maintained that the second LNG cargo further solidifies this partnership and underscores the importance of reliable energy supplies for Pakistan during the winter months. It is worth mentioning here that in December PLL had cancelled the bidding process for the procurement of spot LNG cargo for the supply window of January 18-19, 2024.