Engro to respond to Government’s initiative with increased capacity for Regasification
Engro Elengy Terminal Pakistan Limited has decided to retire its 690 million cubic feet per day terminal and replace it with a new terminal having a capacity of 790 million cubic feet per day. The older unit was imported from Kuwait where it was already used to Re-gasify imported LNG. Replacement of the Floating storage and re-gasification units will add 100 million cubic feet per day of regasification capacity into the value chain. The government has promoted increased regasification capacity via removing the import taxes on LNG and issuing tenders for a 200 million cubic feet per day processing capacity.
Such a capacity will be needed once the current tenders for a 240 cargo 10-year contract comes to fruition. Once the contract is enforced, Pakistan will become one of the top-five LNG buyers in the world.