Pakistan eyes deeper discounts as Russian oil imports hit snag

Current deal economically infeasible despite official denials, insiders say

A ship carrying Russian crude anchored in Karachi in June: Pakistan's refinery says the oil was processed successfully, but experts and officials have cast doubt on the viability of the imports. © Reuters

ADNAN AAMIR, Contributing writer

August 19, 2023 16:10 JST

ISLAMABAD -- Pakistan wants a better deal on Russian oil after trial imports proved uneconomical, informed sources and experts say, despite official assurances that the arrangement has been a success.

The South Asian country earlier this year struck a deal to import discounted crude oil from Russia as it attempts to shore up energy supplies while conserving scarce foreign reserves. In a trial run, Pakistan imported about 740,000 barrels worth of oil in two shipments in June, with plans to ramp up purchases to 100,000 barrels a day -- equivalent to two-thirds of the country's oil imports.