Unresolved dredging issue impedes further import of LNG

ISLAMABAD: The arrival of Q-Flex -- a fully loaded LNG vessel of Qatargas company in Karachi waters under the government-to-government arrangement remains doubtful as the issue of further dredging of the Port Qasim channel, wherein Qatari vessel will navigate, remains unresolved. The Port Qasim Authority says it is bound to honour the implementation agreement signed with the LNG terminal operator, not with the Qatargas Company.
Chief Executive of Port Qasim Authority, Agha Jan Akhter, while talking to The News said on Thursday that the PQA was bound to follow the implementation agreement with the EEPTL (Engro Elengy terminal Pvt Limited) under which it will ensure the water channel for navigation of LNG vessel with 200 meter width and 13 meters draft (depth).
However, the Port Qasim Authority, beyond its mandate, is extending facilities to alleviate the Qatargas Company’s concerns about the security of its vessels that will navigate in Port Qasim.
“This is not our mandate, but for the sake of resolving the energy crisis in the country, the
PQA has decided to provide the chart of the channel twice a year to the Qatargas Company for the satisfaction of the top mandarins of the Qatari authorities”, Mr Qasim said.
When asked if PQA will dredge the channel further up to 14 meter depth as required by Qatargas Company, Mr Akhter said: “PQA has nothing to do with Qatargas Company and the Authority is bound to follow the implementation agreement with EETPL under which channel of 200 meter width and 13 meter depth will be maintained.”
When his attention was drawn towards the details of the letter of Qatargas Company to PSO in which the top management of Qatargas had pointed out that it will not send its Q-Flex vessel unless the dredging of channel by 14 meter depth is ensured. The letter also pointed out many shortfalls in operational and logistics issues. Qatargas, as per its letter, has asked the Pakistan authorities to provide supporting assurance “to prove the outer and inner channel depths meet the guaranteed 13m below the chart datum, and the EEPTL berthing basin-I guaranteed 14m. The bathymetric charts of January 2015 show depths lower than 13m below the chart datum which clearly indicates the need for additional dredging to meet the minimum guaranteed depths”.
It demanded an updated and an authorised bathymetry survey data copy of the full approach channel (outer and inner) in support of the channel’s guaranteed depths. The Qatari firm said the PQA also needed “to undertake surveys every year in January and subsequently in September (at the end of siltation period) in order to assure that guaranteed depths are maintained and are available throughout the year”.
More importantly, an effective maintenance/dredging scheme should be implemented to resolve the manoeuvring constraints at the bend of Ahsan channel. It is pertinent to mention stated position of Port Qasim Authority (PQA) as per the documents is that additional dredging to facilitate LNG ship, known as Q-Flex, was the responsibility of the terminal operator - ETPL - as per request for proposal (RFP).
Mr Akter, however, said that vessel having length of 335 meters can easily navigate in the channel of Port Qasim and to substantiate his argument PQA CEO further said that one vessel of 335 meters length meter is right now berthed in the channel. “The FOTCO often brings the large vessel of 200,000 tons in Port Qasim.” He said since the LNG vessel is 3-4 times costly than other vessels, which is why the LNG supplier is more cautious about the navigation of their vessels. “Once the confidence of any shipping line or LNG supplier gets restored after sending their first vessel at Port Qasim, then there will be no more reservations,” he hopes. He said that FRSU with capacity of carrying LNG of 1,51,000 cubic meters of Engro easily got berthed at LNG terminal at Port Qasim on March 26 amid the news that it will not be easy for FRSU to get anchored.
The CEO, however, claimed that the issue of further dredging will be resolved and hoped that the LNG vessel of Qatargas Company may arrive in Port Qsim by April 23 or by May 1.
Mr Akhter also explained that since PQA has nothing to do with Qatargas Company so it is not bound to further dredge the channel. He said Port Qasim has its own business model and it will continue to stick with it. He said Port Qasim Authority has played tremendous role in completing the terminal in record time. He also brushed aside the impression created by a section of the press that PQA is not dredging the channel up to 14 meters depth as per the requirement of Qatargas Company saying PQA has no agreement with Qatargas Company as it has inked implementation agreement with Engro under which it will continue to maintain the navigational channel of 200 meters with 13 meters draft and in his view the vessel of Qatargas Company can easily navigate in the channel.
A top official in the ministry of petroleum and natural resources said that Qatargas Company would not send its Q-flex vessel unless and until the international guidelines to govern LNG transportation are applied in full spirit and if the 14 meters degrading is not done, the LNG shipping line of Qatargas Company would be deprived of the insurance cover. “This means arrival of Q-Flex is still a dream.”