A Liquefied Natural Gas (LNG) ship which stores and converts LNG to gas (FSRU) reached Port Qasim on Thursday with an initial cargo load of 148517 cubic metre of LNG.
This will now permanently dock at the Engro Elengy Terminal at Port Qasim and together will provide Pakistan's first state of the art LNG terminal.
The terminal has been built at a cost of USD 135 million in a world record time of 335 days of signing with actual construction of 179 days and the FSRU vessel is worth an additional USD 300 million.
Engro won the contract to handle LNG at the most competitive rate in the region. In addition, the vessel has the capacity for regasification of up to 600 mmcfd which will have a major impact on solving the energy crisis in the country.
CEO Engro Elengy Terminal Limited Sheikh Imran ul Haq said: "The Company has fulfilled its commitment by constructing all infrastructure facilities in a record time period. This historic achievement is testament to Engro's expertise in deploying world-class solutions against stretched deadlines.
"We are hopeful that the commissioning of the country's first LNG terminal will help meet the rising demand of gas in the country and fuel economic growth and help alleviate energy crisis that continues to impede industrial growth."
It may be noted that the FSRUs, are purpose-built LNG tankers that incorporate onboard equipment for the vaporization of LNG and delivery of high-pressure natural gas.
These vessels load in the same manner as standard LNG tankers at traditional liquefaction terminals and also retain the flexibility to discharge in three distinct ways: as a liquid at a conventional LNG receiving terminal; as gas through the FSRU's connection with a subsea buoy in the hull of the ship; and as a gas through a high-pressure gas manifold located forward of the vessel's LNG loading arms.
EETL believes that Pakistan urgently needs to utilise its existing power generation capacity fully, while reducing its reliance on costly imported diesel fuel for electricity generation; and the regasification of LNG will allow generation facilities to reach their maximum potential whilst using a cleaner, cheaper and more efficient fuel for greater energy security and diversification.
It is estimated that the converted fuel will help the government make an estimated savings of about USD 1.0 billion per annum on its current fuel import bill of nearly USD 15 billion.