Engro Eximp FZE, a subsidiary of Engro Corporation, announced today that it has entered into a Memorandum of Understanding (MOU) with Excelerate Energy Inc. (NYSE: EE), a leading provider of flexible LNG infrastructure solutions around the world, related to the development of a private sector gas marketing business in Pakistan.
Under this MOU, both partners will jointly evaluate the possibility of establishing a regasified LNG (RLNG) marketing business with maximum participation from the country’s private sector.
This initiative has the potential to increase private company participation in Pakistan’s LNG sector and enhance Pakistan’s energy security by opening up new RLNG supply avenues for businesses and consumers.
This endeavour comes at a point when the need for energy security has become a critical issue globally, and particularly for Pakistan, against the backdrop of current geopolitical dynamics.
President and CEO of Engro Corporation Ghias Khan, said, “We are delighted that our collaboration with Excelerate Energy has been strengthened through this agreement, which will help Pakistan meet its energy needs. As a pioneer in Pakistan’s LNG sector, we understand the importance of enhancing energy security; an imperative for Pakistan to ensure economic growth while providing consumers access to adequate, reliable, and affordable supplies of energy.”
“We value our collaboration with Engro and take great pride in having partnered with them to build Pakistan’s first LNG import terminal in 2015,” said President and Chief Executive Officer of Excelerate Steven Kobos.
“This agreement builds on the momentum we have established by extending our reach downstream of our existing terminal to key regasified LNG markets in Pakistan. We remain committed to meeting Pakistan’s growing energy security needs and look forward to expanding our collaboration with Engro in this pivotal market,” he said.
Since 2015, Engro and Excelerate together have played a key role in strengthening the energy security of Pakistan through continuous operations of Pakistan’s first LNG import terminal which utilises floating storage and regasification unit provided under a long-term charter by Excelerate.
The terminal currently fulfils as much as 15 per cent of Pakistan’s natural gas requirements and is recognized as the most utilized FSRU worldwide.