On April 14, 2026, Power Minister Awais Ahmad Khan Leghari highlighted the critical need for additional gas supplies, warning that without them, electricity tariffs could rise significantly due to increased fuel costs. An additional 20-25 mmcfd of gas could be redirected from the compressed natural gas (CNG) sector to help meet the growing demand.

The urgency of the situation is underscored by the fact that the summer peak demand typically rises to between 27,000 and 28,000 megawatts (MW). In recent days, the government has already implemented at least two hours of loadshedding, indicating the strain on the current energy infrastructure.

Fertiliser plants may face interruptions in gas supply and could be forced to operate on an alternate basis. Meanwhile, the price of furnace oil has more than doubled between February and early April 2026, further complicating the energy landscape.

Current stocks of furnace oil exceed 500,000 tonnes, which is sufficient to meet full requirements for more than 35 days. However, the fuel cost gap between re-gasified liquefied natural gas (RLNG) and high-speed diesel remains significant, ranging from Rs20-21 to Rs50-54 per unit.

The fuel cost adjustment (FCA) for February was recorded at Rs1.42 per unit, and it is estimated that this figure could have reached around Rs2 without the utilization of furnace oil and RLNG. This situation has prompted discussions among key stakeholders.

General Zafar Iqbal has led the National Coordination and Management Council to address the electricity shortages and ensure maximum supply to economic sectors at affordable rates. This collaborative effort is crucial as the country navigates its energy challenges.

Leghari remarked, “It is a choice between the uproar of 7 million gas consumers or 30 million power consumers,” emphasizing the delicate balance the government must maintain in managing energy resources.

As the situation develops, the reliance on liquefied petroleum gas (LPG) as an alternative fuel for domestic use has surged, with prices more than doubling the rates set by the Oil and Gas Regulatory Authority (Ogra).

Without RLNG, approximately 5,000 MW of efficient plants in Punjab could become either redundant or costly to operate on diesel. The coming weeks will be critical in determining how effectively Pakistan can manage its natural gas supply and mitigate the impacts on consumers and the economy.

The post Natural Gas Supply in Pakistan Expected to Double by April 2026 appeared first on 1News.

In response to the current gas crisis, Sui Northern Gas Pipelines Limited (SNGPL) has implemented measures to restrict gas supply to just six hours a day. This limitation means that consumers will now receive gas primarily during breakfast and dinner hours, a significant reduction in availability that has raised concerns among households and businesses alike. The latest disruption has largely been linked to problems in liquefied natural gas (LNG) imports, which have been a critical component of the country’s energy strategy.

The rising demand for electricity during the summer months typically peaks at around 27,000-28,000 megawatts (MW), a stark contrast to the current peak demand of less than 14,000 MW. This discrepancy highlights the urgent need for the government to address the energy supply challenges. In recent days, the government has already implemented at least two hours of loadshedding, and this is expected to increase as the summer progresses.

Fuel cost adjustments (FCA) have also been a topic of concern, with the FCA for February recorded at Rs1.42 per unit. However, estimates suggest that this could rise to around Rs2 per unit in April if the situation does not improve. The cost of furnace oil, another energy source, has more than doubled between February and early April, further complicating the energy landscape.

Minister Leghari emphasized the difficult choices faced by the government, stating, “It is a choice between the uproar of 7 million gas consumers or 30 million power consumers.” This statement underscores the delicate balance the government must maintain as it navigates the competing demands of different sectors.

The government has also been warned that the gap in energy supply creates opportunities for smuggling, which could undermine efforts to stabilize the energy market. As the situation develops, the government is expected to enforce average daily loadshedding of two to three hours, alongside conservation measures to mitigate the impact on consumers.

With 500,000 tonnes of furnace oil stocks available, the government has some resources at its disposal to manage the crisis. However, the effectiveness of these measures remains to be seen as the country grapples with the dual challenges of rising demand and supply shortages. The outcome of these developments will be critical for both the energy sector and the broader economy.

The post Natural Gas Supply Challenges in Pakistan appeared first on 1News.

Qatar has long been recognized as the world’s second largest exporter of liquefied natural gas (LNG), with a production capacity of 77 million tons per annum. Major players in this market, including Shell and TotalEnergies, have relied on Qatari LNG to meet global energy demands. Prior to recent developments, expectations were stable, with these companies engaged in partnerships to expand production capabilities, particularly through QatarEnergy’s North Field expansion project.

Decisive Changes in the Market

On March 11, 2026, Shell declared force majeure on LNG cargoes it purchases from QatarEnergy, a significant shift that sent ripples through the energy sector. This declaration was closely followed by QatarEnergy announcing a production halt at its facility, which is crucial for LNG supply. In a related development, other Qatari LNG buyers, including TotalEnergies, also received force majeure notices from Qatar, indicating widespread disruption across the supply chain.

Immediate Effects on Stakeholders

The immediate impact of these declarations has been profound. Shell, which typically takes 6.8 million tons per annum (mtpa) of Qatari LNG, now faces uncertainty in its supply chain. Meanwhile, TotalEnergies, although not declaring force majeure itself, is affected by the broader disruptions, as it relies on 5.2 mtpa from Qatar. Additionally, Omani trading house OQ declared force majeure to its customer in Bangladesh due to the halted Qatari supply, highlighting the far-reaching consequences of the situation.

Expert Perspectives on the Shift

Industry experts have weighed in on the implications of these developments. Saad al-Kaabi, a key figure in Qatar’s energy sector, noted that it would take “weeks to months” to return to normal deliveries, even if the ongoing conflict that prompted these measures were to cease immediately. This statement underscores the challenges that both suppliers and buyers face in navigating the current landscape.

Broader Context and Future Outlook

The energy market is now grappling with the fallout from these force majeure declarations. Shell declined to comment on the situation, leaving stakeholders to speculate on the long-term ramifications. As the situation evolves, the partnerships between Shell, TotalEnergies, and QatarEnergy will be tested, with potential impacts on future projects and investments.

As the situation develops, the energy market will be closely monitoring the responses from Shell, QatarEnergy, and other stakeholders involved. The declarations of force majeure signal a critical juncture for LNG supply chains, with implications that could reshape the dynamics of energy trading in the region.

The post Shell Declares Force Majeure on LNG Contracts appeared first on 1News.

Breaking Development

As global energy prices soar, Russia is positioned as a significant beneficiary of the turmoil. Antonio Costa remarked, “So far, there is only one winner in this war – Russia,” highlighting the geopolitical shifts at play. The Kremlin has indicated that all parties involved wish to continue US-mediated peace talks regarding Ukraine.

Gas prices in the US have surged due to the war with Iran, and oil and natural gas flows through the Strait of Hormuz have slowed, further impacting global markets. Before the Ukraine war, Europe relied on Russia for over 40% of its gas, but by 2025, this figure is expected to drop to only 13% of total EU imports.

Statements from Key Parties

In a recent phone call, US President Trump and Russian President Putin discussed the ongoing wars in Iran and Ukraine. However, US sanctions on Russian oil were not a focal point of their conversation. The US continues to maintain sanctions on the oil sectors of Russia, Iran, and Venezuela, complicating the energy landscape.

Putin has expressed readiness to work with European customers on oil if they choose to return to cooperation, indicating a potential shift in energy alliances as the conflict evolves.

Looking Ahead

Observers are closely monitoring the situation, noting that the ongoing conflicts could reshape energy dependencies and geopolitical alliances. As the US-Israel war continues, the implications for Russia’s role in global energy markets and its relationship with Europe will be significant.

Freedom and human rights cannot be achieved through bombs, Costa stated, emphasizing the need for international law to uphold these values amidst the chaos.

The post Russia Benefits from US-Israel War on Iran appeared first on 1News.

Breaking Development

Recent statements from various leaders indicate that Russia is benefiting from the turmoil. Antonio Costa remarked, “So far, there is only one winner in this war – Russia.” The ongoing conflict has diverted global attention from the situation in Ukraine, allowing Russia to consolidate its position.

As the war unfolds, gas prices in the United States have surged, exacerbating the existing energy crisis. The war has also slowed oil and natural gas flows through the Strait of Hormuz, further impacting global energy supplies.

Reactions from Key Parties

The Kremlin has expressed a willingness to continue US-mediated peace talks regarding Ukraine, indicating that all parties involved are interested in finding a resolution. President Putin has also suggested that Russia is ready to work with European customers on oil if they choose to resume cooperation.

Before the Ukraine war, Europe relied on Russia for over 40% of its gas supply. However, projections indicate that by 2025, Russian gas sales are expected to account for only 13% of total EU imports, reflecting a significant shift in energy dependency.

Future Implications

US President Trump and Russian President Putin recently discussed the wars in Iran and Ukraine during a phone call, although details regarding US sanctions on Russian oil were not elaborated upon. The US continues to maintain sanctions on the oil sectors of Russia, Iran, and Venezuela, complicating the energy landscape further.

Observers are closely monitoring the situation, noting that the ongoing conflict in Iran may have lasting implications for the geopolitical dynamics in Europe and beyond. As the situation develops, the focus will remain on how these conflicts influence the broader energy market and international relations.

The post Russia Benefits from US-Israel War on Iran appeared first on 1News.