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Reading: Pakistan Welcomes First LPG Shipment from Russia
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LPG Shipment, Pakistan-Russia Trade
PhotoNews Pakistan > Pakistan > Pakistan Welcomes First LPG Shipment from Russia
Pakistan

Pakistan Welcomes First LPG Shipment from Russia

Web Desk
By Web Desk Published September 27, 2023 2 Min Read
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Photo: @RusEmbPakistan (Twitter)
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Pakistan received its first shipment of 100,000 metric tons of Liquefied Petroleum Gas (LPG) from Russia.

On X (the platform previously known as Twitter), the Russian Embassy in Pakistan confirmed Moscow’s delivery of the initial batch of LPG. This cargo went to Pakistan through the Sarakh’s Special Economic Zone (SEZ) in neighbouring Iran. Moreover, the embassy hinted at ongoing talks between the two nations for a subsequent LPG shipment.

Past Hiccups in the Oil Trade

Reports suggested that Pakistan had momentarily paused its Russian crude oil imports earlier in August. The decision stemmed from the refining process of the Russian oil, which produced a larger quantity of furnace oil than petrol. In the backdrop of this situation, Pakistan aimed at brokering a long-term agreement with Russia to procure oil at more competitive prices.

Russia has delivered the first batch of liquefied petroleum gas (LPG) in the amount of 100 thousand metric tons to Pakistan through Iran's Sarakhs Special Economic Zone. Consultations on the second shipment are underway
🇷🇺🤝🇵🇰 pic.twitter.com/AZJwf5f9I5

— RusEmbassy_Pakistan (@RusEmbPakistan) September 26, 2023

Insiders from the energy domain highlighted a distinct challenge: Russian oil yielded a comparatively lower volume of jet fuel and diesel. This made the crude less lucrative for Pakistan, as the petrol output was around 20% less than what was derived from Arab crude oil during the refining process.

The Bigger Picture in Oil Trade

While some sources claim that Pakistan had previously procured about 100,000 tons of crude oil from Russia, this statement faced contradictions from Pakistan Refinery, denying such claims.

However, the energy sector insiders remain optimistic. They conveyed that past trials with Russian-imported crude oil were fruitful. They remain hopeful of revisiting Russian crude oil refining when the trading terms become more beneficial for both nations.

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