The recent claims regarding the closure of indigenous gas fields in favor of imported RLNG require clarification. The gas was closed in some part of December when Power was not off taking RLNG per its demand. All the gas producing fields are OPEN and producing gas per optimum production. Power has started picking up RLNG per demand since last 4-5 days.
It is highlighted that SNGPL system can store up to a maximum of 2 days of unutilized RLNG supplies in the pipelines as there is no separate gas storage facility available in the country.
The total curtailment undertaken in last 4 months is less than 100 MMCFD while the figure of 329 MMCFD curtailment indicated in the The News today under the heading “Local Gas cuts cost U.S.$ 194 million loss to the economy in 4 months” is not correct.
The curtailment is only undertaken in the low demand / lean months of the years when the Power sector fails to pick up in accordance with firm demand given by it. The gas fields operate optimally during the most parts of the year while the circular debt has also been addressed thru adjustment in gas prices. E&P companies are now getting regular payments for their gas supplies owing to GOP intervention in the matter.
*Media Affairs Department*
*Sui Northern Gas*
