The News reported that Global Energy Holding, a Turkish company is all set to sign Implementation Agreement with Port Qasim Authority for the construction of an LNG terminal.
Mr Muhammad Shafi chairman PQA said that all the initial work of the LNG terminal has been completed. There would be three Floating Storage and Re gasification Units terminals at PQA.
Mr Shafi said that PQA will sign another IA with Engro Pakistan next week. Oil and Gas Regulatory Authority has issued three licences to set up Liquefied Natural Gas terminals at PQA. The licenses have been issued to Pakistan Gas Port, GEH and Engro.
He said that the government has instructed these firms to import LNG into the country on fast track basis in a bid to overcome the energy crisis. The government has also directed the ministries concerned to expedite the process of LNG imports.
He added that the import of LNG and its utilization infrastructure is expected to be completed by 2012. Global Energy and Engro Pakistan would complete their terminals by 2012 and Pakistan Gas Port its by 2013.
Mr Shafi said that the total cost of the terminal to be built by Global Energy would be USD 200 million. The IA would be on Build Operate and Transfer basis for 30 year lease.
He said that PQA’s royalty would depend upon the quantity of LNG import and it is expected to keep the royalty low so that cheap gas could be available to consumers. A pipeline will be laid for the transportation of gas from PQA to up country.