Pakistan Awards LNG Contract To GDF Suez
Government of Pakistan awarded a contract to GDF Suez to supply 3.75 million tons per annum of liquefied natural gas (LNG) for a period of 20 years. This is the country’s first gas import project and efforts are still being made to allow Shell to import additional 2.5 million tons during the same period.
The project envisages supply of up to 500 million cubic feet per day of gas. The price of LNG imported from GDF Suez will be $1.8 billon lower than the rates offered by Shell in the first six years, the import price will be around $9.3 per MMBtu said, G A Sabri, senior petroleum ministry official.
GDF Suez will start supplying the gas to Pakistan by Oct. 2011 according to the initial six-year contact. . The company may also supply 1.5 million tons of LNG annually for the following 14 years under the contract, G.A Sabri said.
