AIRLINK 74.85 Increased By ▲ 0.56 (0.75%)
BOP 4.98 Increased By ▲ 0.03 (0.61%)
CNERGY 4.49 Increased By ▲ 0.12 (2.75%)
DFML 40.00 Increased By ▲ 1.20 (3.09%)
DGKC 86.35 Increased By ▲ 1.53 (1.8%)
FCCL 21.36 Increased By ▲ 0.15 (0.71%)
FFBL 33.85 Decreased By ▼ -0.27 (-0.79%)
FFL 9.72 Increased By ▲ 0.02 (0.21%)
GGL 10.45 Increased By ▲ 0.03 (0.29%)
HBL 112.74 Decreased By ▼ -0.26 (-0.23%)
HUBC 137.44 Increased By ▲ 1.24 (0.91%)
HUMNL 11.42 Decreased By ▼ -0.48 (-4.03%)
KEL 5.28 Increased By ▲ 0.57 (12.1%)
KOSM 4.63 Increased By ▲ 0.19 (4.28%)
MLCF 37.80 Increased By ▲ 0.15 (0.4%)
OGDC 139.50 Increased By ▲ 3.30 (2.42%)
PAEL 25.61 Increased By ▲ 0.51 (2.03%)
PIAA 20.68 Increased By ▲ 1.44 (7.48%)
PIBTL 6.80 Increased By ▲ 0.09 (1.34%)
PPL 122.20 Increased By ▲ 0.10 (0.08%)
PRL 26.58 Decreased By ▼ -0.07 (-0.26%)
PTC 14.05 Increased By ▲ 0.12 (0.86%)
SEARL 58.98 Increased By ▲ 1.76 (3.08%)
SNGP 68.95 Increased By ▲ 1.35 (2%)
SSGC 10.30 Increased By ▲ 0.05 (0.49%)
TELE 8.38 Decreased By ▼ -0.02 (-0.24%)
TPLP 11.06 Decreased By ▼ -0.07 (-0.63%)
TRG 64.19 Increased By ▲ 1.38 (2.2%)
UNITY 26.55 Increased By ▲ 0.05 (0.19%)
WTL 1.45 Increased By ▲ 0.10 (7.41%)
BR100 7,841 Increased By 30.9 (0.4%)
BR30 25,465 Increased By 315.4 (1.25%)
KSE100 75,114 Increased By 157.8 (0.21%)
KSE30 24,114 Increased By 30.8 (0.13%)
Business & Finance

This financial expert told us about the Pakistan, Qatar LNG deal weeks ago

  • He said that the deal would be a long-term contract for 2 cargos per month at 20-25 percent discount to the existing deal.
Published February 27, 2021

Pakistan has signed a new 10-year deal to import liquefied natural gas (LNG) from Qatar with shipments starting in January 2022.

The development which was announced by the government on Friday came as a surprise to many, however, economist Ali Khizar who heads BR Research, the research wing of Pakistan’s premier financial daily Business Recorder foretold about the deal more than three weeks prior to the official announcement.

“Good news from Qatar is expected in February,” said Khizar in a tweet post dated February 3, 2021, he said that the deal would be a long-term contract for 2 cargos per month at 20-25 percent discount to the existing deal.

Khizar was replying to a tweet from renowned journalist Najam Sethi, after Sethi said that Qatar is ‘very angry’ with the incumbent government for ‘maligning its gas deal and international reputation.’

Meanwhile, the deal struck with Qatar Petroleum will be for the supply of up to 3 million tonnes annually, with two cargoes a month initially, increasing to four a month in three years, the prime minister's special adviser on petroleum Nadeem Babar told a news conference on Friday.

It was told that the shipments under the deal will be 10.2% slope of Brent, which as per Babar was more than 30% cheaper than contracts with Gunvor, from whom Pakistan had been receiving one cargo a month.

Prices are expressed as a "slope" against Brent crude oil prices, meaning a percentage of that price, and are typically a pointer for the opaque spot LNG market.

Babar said one agreement with Gunvor had expired in December last year while another would expire in about 14 months and that the Qatar supply would replace them. He termed the agreement with Qatar the "lowest publicly disclosed contract in the world".

Comments

Comments are closed.