- Islamabad does not buy any crude oil cargo from Moscow: Malik.
- The minister said the government was considering postponing 5 additional LNG cargoes.
- Highlights excess LNG due to lack of purchase by power plants.
ISLAMABAD: Oil Minister Musadik Malik on Wednesday categorically denied media reports claiming that Pakistan had entered into an agreement with Russia to import crude oil at a discounted rate.
“The news of a deal with Russia on crude oil is absolutely false. No agreement has been reached with Russia regarding such a deal,” Malik told reporters.
The federal minister’s clarification comes after it was reported that Islamabad had decided to import Russian crude oil at a discounted rate on Moscow’s offer.
Media reports suggested that during the Intergovernmental Commission (IGC) meeting held in Moscow, the two countries had agreed to restart crude oil trade from January 2025 and Pakistan would import one cargo every month under the government-to-government agreement.
However, elaborating on the issue, the Oil Minister said that the government was not purchasing any cargo of crude oil from Russia. “We are creating a framework such that the consumer gets cheap oil.”
Addressing the issue of liquefied natural gas (LNG), he said the country would not receive any additional LNG cargoes due to an existing surplus.
“Pakistan has already postponed five of its LNG cargoes and the postponement of five more cargoes is under consideration,” he added.
Revealing the factors contributing to the LNG surplus, he cited lack of purchase by power plants and said the private sector was not purchasing LNG due to its high cost.
He also indicated that the gas plan for the winter season would be ready in a few days.
Malik also revealed that Pakistan had signed MoUs worth $2.7 billion with Saudi Arabia. According to the federal minister, seven of these MoUs have already been transformed into agreements.
He said five Saudi companies participated in a road show organized by Pakistan Refinery Limited (PRL) in Saudi Arabia, with one of them expressing interest in investing $1.7 billion in PRL.
Malik added that a roadshow for establishing a new refinery in Pakistan would be held in Saudi Arabia soon.
The Oil Ministry is currently working on the roadshow for the Greenfield refinery project, he said.
The minister also revealed that an agreement had been reached with Saudi Arabia for the supply of qualified personnel.
Furthermore, Saudi companies have shown considerable interest in investing in Pakistan’s mining sector, he added.