Russian crude oil import to begin in April: minister

ISLAMABAD: Pakistan and Russia will finalise all commercial terms of an agreement, including the use of other-than-dollar currency as the medium, for selling less expensive crude to Islamabad, Minister of State for Petroleum Musadik Malik said on Thursday, adding by April, Moscow will start the supplies.

“In March, all commercial terms of the agreement will be finalised with Russia, following which low-cost crude oil will start arriving in Pakistan. It will be beneficial for both countries,” Malik said.

Under an agreement with Russia, Pakistan has also started work on devising a Holistic Energy Security Plan that will be implemented by the end of this year, which includes the import of Liquefied Natural Gas (LNG), piped gas, and other petroleum products.

“Crude oil, LNG, gas, petrol, and other fuels will be included in this strategy and it is expected to boost Pakistan’s energy security and supply of fuels at affordable prices,” he said.

The minister said that for the time being, Russian firms don’t have gas to export to Pakistan, but for the next winter season, under another agreement, Pakistan would be able to buy spot LNG cargoes from two companies that the Russian government had identified.