Umair Jamal

Pakistan’s Minister for Economic Affairs Sardar Ayaz Sadiq (left) shakes hands with Russian Minister of Energy Nikolay Shulginov after the two sign the final protocol of the 8th Session of the Pakistan-Russia Inter-Governmental Commission (IGC) meeting on Trade, Economic, Scientific and Technical Cooperation, at Islamabad on January 20, 2023.Credit: Twitter/ Economic Affairs Division, Government of Pakistan
Pakistan is close to a final agreement with Russia for the import of crude oil and petroleum products, with the first consignment expected to arrive in the country after a final deal is sorted in late March.
Russian Energy Minister Nikolay Shulginov was in Pakistan last week to discuss the deal. “We have already decided to draft an agreement to sort out all the issues that we have with regard to transportation, insurance, payments and volumes. These issues are in the final stage of the agreement,” Shulginov said.
Granted that the crucial details still need to be ironed out, the deal, if finalized, would be significant for Pakistan’s economy and its ties with the world.
It is the first solid start that Pakistan and Russia have made toward establishing bilateral cooperation in the oil and gas trade. In the past, conversations in this regard did not move beyond statements of interest.
The prospect of oil and gas imports from Russia also means that Pakistan, which is already procuring oil from Saudi Arabia and other Gulf states on deferred payment options, has another source to access oil at discounted prices.















