Gunvor, one of the world’s largest commodities trading houses, has submitted the lowest bid in a tender to supply Pakistan with one LNG cargo in September.
The state-owned Pakistan LNG launched the tender in August with the delivery window from September 22-23.
Two companies took part in the tender including Gunvor Singapore and Vitol Bahrain, Pakistan LNG’s report dated September 1 shows.
Both of the offers are oil-linked, expressed as a percentage of the Brent crude oil price.
Swiss-based trader Gunvor submitted the most competitive bid at 10.8888 percent of Brent while Vitol’s offer was at 12.3791 percent of Brent.
The tender winner will deliver the cargo on a DES basis to the Port Qasim, where two Pakistan’s LNG receiving facilities are located.
Worth mentioning here, Pakistan LNG also revealed last month two spot LNG cargo tenders for September delivery.
South Korean steel company Posco offered the lowest bid of 7.9673% of Brent for one LNG cargo over September 12-13.
Additionally, Azerbaijan’s SOCAR Trading placed the lowest offer of 6.9511% of Brent for another LNG cargo delivery over the September 25-26 window.
Pakistan has been steadily increasing its LNG imports over the years and the country plans to build several more terminals to cope with gas shortages for power generation.
The country imported 8.10 million tonnes of the fuel last year, a rise of 18.1 per cent on year, GIIGNL data shows.
Qatar is the largest supplier of LNG to Pakistan but the country also receives chilled fuel from other Middle East producers and suppliers from other regions.
