PSO ramps up fuel oil imports ahead of summer

SINGAPORE - The Pakistan State Oil (PSO) is seeking up to 1.215 million tonnes of fuel oil ahead of summer, 75 percent higher in monthly volumes than its previous tender, documents showed on Tuesday. PSO is seeking a total of 15 65,000-tonne cargoes of high sulphur fuel oil and four 60,000-tonne parcels of the low sulphur grade for delivery into Karachi between second-half April and June. This would translate into monthly imports of 486,000 tonnes, about 75 percent higher than its last round of tender for 830,000 tonnes of fuel over March to May. "Summer is coming, and we need electricity. (Close to) six cargoes a month is back to normal," said a Karachi-based source. PSO, which imports 85 to 90 percent of the South Asian country's fuel oil, was forced to cut purchases because it has not been paid by its customers. The company's requirements reached a peak of 425,000 tonnes a month over October and December last year. The tender will close on April 6, with bids valid until April 17. - Reuters