DOHA: Pakistan signed on Wednesday an agreement of billions of dollars with Qatar for importing liquefied natural gas (LNG) for 15 years.

Prime Minister Nawaz Sharif and Qatar’s Emir Sheikh Tamim bin Hamad bin Khalifa Al Thani witnessed the signing of the agreement by Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi and the Chairman of the Qatargas Board of Directors, Saad Sherida.

Talking to reporters at the ceremony, Mr Abbasi said that the LNG deal would be a game-changer for Pakistan.

He said 3.75 million tons of LNG would be imported annually on a government-to-government basis, at comparative rates, which would meet close to 20 per cent energy requirements of Pakistan.

Minister says 3.75m tons of the fuel a year will help save billions of dollars

Mr Abbasi said the deal would help revive the non-functioning electricity generation units of 2,000 megawatts and three fertiliser plants, and also mitigate the hardship faced by domestic consumers and the compressed natural gas (CNG) sector.

It would save the country $1bn a year besides $600m in diesel cost, he said.

The minister expressed the hope that the government would steer the country out of the energy crisis during its tenure.

In addition to the long-term LNG sale and purchase agreement, memorandums of understanding on cooperation between the two countries in the fields of radio and television, health and academic research were signed.

The MoU on cooperation in broadcasting (radio and television) was signed by Prime Minister’s Special Assistant on Foreign Affairs Syed Tariq Fatemi and Qatar’s Foreign Minister Muhammad bin Abdurrehman Al Thani.

Finance Minister Mohammad Ishaq Dar signed the memorandum on cooperation in health sector with Qatar’s Health Minister Hanan Muhammad Al Kuwari; and on academic research and cooperation by Pakistan’s Ambassador Shahzad Ahmed and Qatar Armed Forces’ Commander of Strategic Studies Maj Gen Saud Ali Al Naeemi.

Earlier, Prime Minister Sharif was welcomed on arrival at Doha International Airport by his Qatari counterpart Sheikh Abdullah bin Nasir bin Khalifa Al Thani.

The Emir welcomed the delegation at a ceremony held later at the Diwan-i-Emiri.

Both leaders reviewed a guard of honour.

They held a one-to-one meeting and exchanged views on regional and international issues of mutual interest. Delegation-level talks were also held, followed by the signing of the MoUs.

Qatar’s ruler visited Pakistan on March 23-24 last year. His country hosts over 115,000 Pakistanis.

Published in Dawn, February 11th, 2016