Pakistan State Oil’s (PSO) Board of Management (BoM) has officially approved the execution of a Sale Purchase Agreement (SPA) with the State Oil Company of the Republic of Azerbaijan (SOCAR), marking a significant step in international energy cooperation.
Through a detailed dispatch, PSO has informed the Pakistan Stock Exchange (PSX) about this critical development. The communication outlined the SPA endorsement by various government bodies, including the Ministry of Energy (Petroleum Division).
On December 3, 2024, the Ministry of Energy notified PSO that the Economic Coordination Committee (ECC) had approved the SPA, which the Federal Cabinet subsequently ratified. The Ministry urged PSO to expedite arrangements to sign the agreement with SOCAR.
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The PSO’s letter to the PSX further detailed that the SPA’s execution followed its approval by the PSO’s Board and receipt of the signed agreement from SOCAR on December 24, 2024. The execution of this agreement is scheduled to proceed shortly.
The Ministry of Energy had previously directed PSO on December 3, 2024, to begin the signing process following the ECC’s approval. The formal signing occurred on December 24, underscoring a rapid progression from approval to execution.
The agreement between PSO and SOCAR aims to greatly enhance the energy sectors of both nations, strengthening their economic partnership. This initiative is a part of the Pakistani government’s wider efforts to secure a reliable energy supply for its domestic consumers.
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