Islamabad — Pakistan and Russia are engaged in discussions over a potential agreement in the oil sector, with talks currently underway between the energy ministries of both countries, Finance Minister Muhammad Aurangzeb said in remarks to Russia’s RIA news agency.
The finance minister stated that Pakistan is keen to expand cooperation with Russia in oil exploration, production, and refining, identifying these areas as key strengths of the Russian energy sector. He added that Islamabad would welcome a formal agreement to strengthen bilateral collaboration in the oil industry.
The discussions come amid evolving global energy dynamics. Russia has been actively seeking new markets for its energy exports following Western sanctions imposed over the Ukraine conflict, while Pakistan continues efforts to reduce its fuel import bill and secure more cost-effective energy supplies.
In a related development, Russian Energy Minister Sergei Tsivilev said in November that Russia has also held talks on upgrading an oil refinery in Pakistan, with Russian companies participating in the discussions.
Beyond energy, Aurangzeb noted that Pakistan and Russia are also examining the possibility of establishing another steel plant in Pakistan, signaling broader industrial cooperation between the two countries.
Pakistan began importing Russian crude oil in 2023 under a government-to-government arrangement. The first shipment of 45,000 tonnes arrived at Karachi port in June 2023, following an initial order of 100,000 tonnes placed in April after months of negotiations. A second cargo of 55,000 tonnes arrived later that month, though deliveries faced delays due to limited storage capacity at Pakistan Refinery Limited.
The ongoing talks reflect Pakistan’s strategy to diversify its energy sources and strengthen partnerships with non-traditional suppliers.
