Vessel carrying Qatari LNG arrives at Port Qasim

A cargo vessel carrying approximately 82,000 tonnes of liquefied natural gas (LNG) from Qatar docked at Pakistan's Port Qasim on Thursday, marking the first such shipment through the near-closed Strait of Hormuz since July. The ship, Al Marrouna, originated from Qatar’s Ras Laffan terminal and successfully navigated through the strait on Monday.

Asad Altaf, a spokesperson for the port, confirmed that the last Qatar-origin LNG cargo arrived on July 11 due to regional disruptions. The recent arrival, under a government-to-government agreement with Qatar, is expected to temporarily alleviate the power sector's LNG supplies and ease concerns over prolonged supply disruptions.

Pakistan is currently grappling with power outages ranging from six to 12 hours in several regions, compounded by soaring fuel prices resulting from the recent Gulf conflict. The country has implemented a daily fuel price mechanism, leading to protests from political parties. While Islamabad has been purchasing crude oil from the US in limited quantities, the higher costs due to lengthy shipping routes have increased production expenses.

Political stakeholders are apprehensive that a further escalation of hostilities in the Gulf could severely disrupt both crude oil and LNG supplies, exacerbating the already volatile fuel market.