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USD 94 Million Virtual LNG Pipeline for Gwadar in The Works

Lahore: According to a news source, the Gwadar Gas Port Limited (GGPL) decided to invest USD 94.04 million in a network of “virtual pipelines” to transport imported liquefied natural gas (LNG) to industrial and other private sector clients using cryogenic bowsers on Monday.

In order to use Berth 3 at the Gwadar Port, GGPL, a joint venture between Pakistan Gas Port, Al-Qasim Gas, and Jamshoro Joint Venture, has come to an agreement with Gwadar International Terminals. According to a company document seen by the news source, it intends to “import LNG on a Floating Storage Unit (FSU) of 20,000cbm capacity for delivering the fuel to tankers for onward distribution to the individual customers in the CNG, industrial, and housing sectors.”

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Following OGRA’s permission, the GGPL CEO stated that LNG will be transported to industrial clients using special purpose vehicles. He continued by saying that the effort is expected to bring in USD 1 billion annually.

The company would spend USD 24.04 million, or 54% of the entire investment, on leased equipment, according to the corporate document. The pipeline utility will transport 100mmcfd in the first year, 200mmcfd in the second year, and 300mmcfd in the third year following the start of operations.

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