Pakistan, Qatar sign LNG agreement

ISLAMABAD, March 13 (KUNA) -- Pakistan on Friday signed an agreement with Qatar to import Liquefied Natural Gas (LNG) in a bid to reduce the cost of power generation in the country, said minister.
The first shipment of LNG will reach Pakistan by the end of March, Federal Minister for Petroleum and Natural Resources, Shahid Khaqan Abbasi said in a statement said.
He added that power generation cost through LNG would reduce by 40 per cent as compared to diesel.
"Pakistan relies heavily on its import of furnace oil and diesel to fuel power stations and both fuels are relatively expensive as compared to LNG, which is cheaper and a more efficient alternative," he noted. "LNG is also cleaner and considered environment-friendly." Earlier on February 26, Pakistan and Kuwait signed an agreements for the latter tol provide a loan of USD 32 million to dissolve an energy crisis in the Neelum-Jhelum Hydro Power Project. (end) sbk.msa