Ogra cuts RLNG prices

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) brought prices of re-gasified liquefied natural gas (RLNG) down by more than three percent for December over the previous month, as oil prices are falling in the international market.

Ogra announced the monthly prices of RLNG for consumers of Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC). Ogra fixed price for consumers of SNGPL at $12.2987/million British thermal unit (mmbtu) and at $12.7125/mmbtu for consumers of SSGC.

For November, the price was set at $12.7292/mmbtu for SNGPL’s consumers and $13.1510/mmbtu for SSGCL’s consumers. The December RLNG prices were 3.382 percent (or 0.4305USc/mmbtu) down for SNGPL and 3.327 percent (or 0.4376USc/mmbtu) down for SSGCL over November.

The super-cooled gas price is pegged with the crude oil prices. It is expected that local consumers of RLNG would get a relief due to decline in international oil prices, but rupee devaluation is likely to offset the positive impact.

The new prices also include charges of the LNG terminals, transmission losses, port charges and margins of importers, including Pakistan State Oil (PSO) and Pakistan LNG Limited (PLL). The weighted average sale prices for December were computed, based on eight cargoes imported during the month, of which six were imported by PSO and two by PLL.