KARACHI: Pakistan is exploring the construction of underground gas storage facilities, a long-discussed energy infrastructure project that officials and industry experts say could help manage supply shortages and cushion the country against global price volatility during periods of geopolitical disruption.
The initiative has resurfaced after a state-run gas infrastructure company this month issued a tender seeking consultants to assess the market need and technical feasibility of underground gas storage, potentially marking the first concrete step toward a project that could cost more than $1 billion.
Pakistan’s energy ministry, through Inter State Gas Systems (Private) Limited (ISGS), posted the tender on the Public Procurement Regulatory Authority (PPRA) portal, inviting local and international firms to conduct a pre-feasibility study for the project.
Asif Inam, chairman of Sui Southern Gas Company (SSGC), welcomed the move, confirming that the idea had been envisioned decades earlier but never implemented.
“If they make it, it will be very helpful because we are forced to close the field in summer and sell LNG cargoes on the spot,” Inam, whose state-owned utility is responsible for gas transmission in Sindh and Balochistan, told Arab News.
