In a first, Prime Minister Shehbaz Sharif declared on Sunday that a tanker carrying Russian oil had arrived in Karachi, calling it a “transformative day” for the country.
PM Shehbaz took to Twitter to say, “I have fulfilled another of my promises to the nation.” We are pleased to report that the first discounted Russian crude oil cargo has arrived in Karachi and will begin oil discharge tomorrow.”
Pakistan placed its first order for discounted Russian crude oil in April, as part of a new agreement between Islamabad and Moscow.
The Russian vessel Pure Point, a 183-meter-long oil tanker carrying 45,000 metric tonnes of oil, moored at the port’s pier number two.
The premier expressed his delight at the event, saying, “We are moving one step at a time towards prosperity, economic growth, energy security, and affordability.”
He insisted that this was the first Russian oil cargo to arrive in Pakistan and the start of a new relationship between Pakistan and Russia.
“I congratulate all those who have remained a part of this national endeavor and contributed to making the promise of Russian oil imports a reality,” he continued.
Pakistan had expected the Russian ship to arrive in Oman on May 27-28.
A Russian cargo ship carrying 100,000 tonnes of crude oil arrived at the Omani port of Duqm on June 7, according to The News, quoting an official.
“The vessel, which was loaded with Ural crude on April 21 at a Russian port, was delayed for 10 days due to technical reasons,” said the spokesman.
“It then arrived at Egypt’s Suez Canal on May 17, where it waited for 12 days in a long queue to cross the canal.”
On June 20, the remaining 50,000 tonnes of Russian crude will be delivered to Port Qasim. The authorities have stated that they will ensure that the Russian crude arrives safely and smoothly. According to the official, the delay in the arrival of Russian crude oil is due to logistical issues.
“The delay in the arrival of the cargo will not increase transportation costs because it is already settled with the Russians,” he had stated. “However, if the price of crude oil falls in the meantime, it will be detrimental to the country.” The test cargo of Russian crude oil will be refined by Pakistan Refinery Limited (PRL), which will combine it with petroleum imports from the United Arab Emirates and Saudi Aramco.
PRL has been tasked with submitting to the government a test report on the oil’s quality, yields, and commercial feasibility. The test cargo will also assist the government in determining transportation costs, refining costs, and refinery margins.
PRL, National Refinery Limited, Pak Arab Refinery Limited, and Byco Petroleum refine 70% of Pakistan’s crude oil. The remaining 30% is generated locally and refined by local refineries such as Attock Refinery Limited.
The decision comes as Pakistan seeks to diversify its oil import sources in the face of rising world costs. Russia, a major crude oil producer, has offered the country cheaper oil pricing. The Russian crude will be paid for in yuan via the Bank of China.
