Russia offers to supply blended crude oil to Pakistan

KARACHI: Russia has offered to supply blended crude oil to Pakistan as part of 100,000 barrels per day crude oil supply. This is because Pakistan’s refining sector is not able to process crude oil of one specification.

The offer from the Russian side came when authorities from both sides held a virtual meeting on Thursday.

The Pakistani side, led by State Minister for Petroleum Dr Musadik Malik, comprised senior officials of Petroleum Division and representatives from the oil sector whereas the Russian side consisted of senior officials of the energy ministry and relevant departments.

Sources privy to the proceedings of the meeting told The News the Pakistani authorities told their Russian counterparts that the country needed crude oil, petroleum products, gas and investment in infrastructure.

The Russian side told the Pakistani authorities that they were ready to work with them and would further deliberate upon it when a delegation from Russia would visit Pakistan in the third week of January 2023.

They further said that Russia would supply 100,000 barrels of crude oil to Pakistan on a daily basis. However, the Pakistani authorities told them that the country’s refineries were hydro-skimming refineries and process light crude oil. They added that they would be more interested in light crude oil to process it efficiently.

The Russian authorities said that if the Pakistani refineries are not capable of processing one crude oil, they can provide them blended crude oil.

The sources said that more discussion would be held when the Russian authorities would visit Pakistan next month.

The Pakistani delegation visited Russia at the end of November to hold talks on supply of oil and gas on discounted rates.

After returning from Russia, Dr Musadik Malik, addressing a news conference, had said that Russia had agreed to supply crude oil. However, the rates and mode of payment were yet to be finalised, for which the Russian authorities would visit Pakistan next month.