Monday May 16, 2022

PM directs to fast track gas exploration licences

December 30, 2021
PM directs to fast track gas exploration licences

ISLAMABAD: Prime Minister Imran Khan Wednesday directed to fast track the issuance of licences for domestic exploration of gas as it is the cheapest source of the natural fuel.

Chairing a meeting to review gas situation in the country, the prime minister also directed the departments concerned to remove hurdles in the process of installation of new LNG terminals and virtual pipeline projects by investors.

In this regard, ministry of maritime affairs, ministry of petroleum and Ogra were directed to coordinate and also take all other stakeholders on board, including the investors.

In addition, the prime minister, while emphasising the importance of North-South Gas Pipeline, directed to ensure its execution without further delay in the agreed timelines.

The premier was briefed about the demand and supply of domestic gas reserves, shortfall and import of LNG.

The meeting was informed that the current constrained demand of gas in the country is 4,700 mmcfd, which increases to 6,000-6,500 mmcfd during the winter season. The current domestic supply amounts to 3,300 mmcfd, which is decreasing every year. The resulting shortfall has to be managed by importing LNG.

With the current infrastructure, a shortfall of nearly 1,000 mmcfd in winters arises for which multiple options are being adopted. For short term, the existing capacity of domestic terminals is being optimised and the process of issuance of virtual pipeline licences is expedited. In addition, the installation of two new LNG terminals is under way with all bottlenecks being removed on priority basis.

The meeting was attended by federal ministers Shaukat Tarin, Hammad Azhar, Asad Umar, Ali Haider Zaidi, SAPM Mahmood Moulvi and officials of the departments concerned.