By Oleg Vukmanovic and Sarah McFarlane
MILAN/LONDON, Dec 16 (Reuters) - Oil major Shell and trading house Gunvor will supply Pakistan with 120 liquefiednatural gas (LNG) cargoes between 2016 and 2020 after bothcompanies submitted the lowest offers in two highly sought aftertenders, trade sources said.
Pakistan State Oil company on Nov. 9 launched two tendersseeking 60 cargoes each for delivery during the period.
Shell's offered price to PSO at 13.83 percent of the priceof a barrel of crude oil for the 60-cargo LNG supply was thelowest among companies vying for the business, making it thelikely winner, trade sources with knowledge of the matter said.
The likely winner of Pakistan's parallel 60-cargo supplytender is trading house Gunvor, which offered a delivered priceof 13.37 percent of a barrel of crude oil, traders said.
A global glut in gas supplies has caused spot LNG prices toplunge, prompting some countries to take advantage of the cheapsupplies to become importers for the first time.
The official award of the tenders is expected in two weeks,one trader said. (Editing by Susan Thomas)