Cabinet approves diversion of 45 LNG cargoes

The federal cabinet has approved the diversion of 45 liquefied natural gas (LNG) cargoes because of shrinking consumer demand in the country. The Economic Coordination Committee (ECC) has already approved the diversion of LNG cargoes. Its decision was tabled before the cabinet in a recent meeting, where the proposal was ratified. Sources told The Express Tribune that summaries titled "Update on Negotiation with State of Qatar for Mitigation of Surplus LNG" and "Operation of Two SNGPL-Based Urea Manufacturing Plants (Fatima Fertiliser and Agritech)" were placed before the cabinet for approval. During discussion, the Petroleum Division apprised the forum that owing to persistently thin demand for gas in the country, Pakistan State Oil (PSO) had surplus stock of imported LNG. It revealed that after negotiations with Qatar, an optimal and mutually agreed solution was reached, which allowed sale of up to 24 LNG cargoes on a net proceeds differential (NPD) basis in 2026.