Pakistan is planning to allow offshore drilling to meet energy needs and the government has contacted foreign companies in this regard, State Minister for Petroleum Dr Musadik Malik has said.

“We are trying to meet the energy demand of the country while reducing circular debts. The government is also trying to reduce the circular debt of gas sector to zero,” he told a press conference in Lahore.

He said that the hoarding begins in the country over the announcement of an increase in the petroleum prices.

The minister also spoke about monopoly in the petroleum sector.

“The government is going to introduce oil bonded storage policy to end the monopoly of certain companies in the petroleum sector”.

Malik added that the establishment of oil storage on private basis will be allowed in the country. The new policy will also facilitate in buying oil in other currencies besides dollar, he stated.

Earlier, Finance Minister Ishaq Dar said that ECC approved “Bonded Bulk Storage Policy 2023” for petroleum products.

“Another Govt’s commitment fulfilled with people of Pakistan that was made through Budget FY24 speech of 9, June, 23 in National Assembly of Pakistan.

Pakistan faces a rising imports bill of oil ànd has just started buying crude oil from Russia. The second consignment of crude oil arrived at Karachi port yesterday (June 27). Russian ship Clyde Noble was carrying 55,000 tonnes of crude oil .

The first Russian ship carrying crude oil arrived in Pakistan on June 11, 2023, the Pure Point reached Karachi port with a load of Russian oil.

Russian Ambassador to Pakistan Danila Ganich, while speaking with Aaj News, said that Russia’s oil supply to Pakistan was not a charity but part of a mutually beneficial agreement.

“This is not charity. If we supply [oil], that means we are making a profit,” he said while responding to a question from Aaj News’s Shaukat Piracha regarding discounted prices for oil supply to Pakistan. “If you [Pakistan] buy that means it is mutually beneficial.”