ISLAMABAD – Pakistan is negotiating a potential oil-sector agreement with Russia, Finance Minister Muhammad Aurangzeb told the Russian state-owned domestic news agency.
This growing partnership underscores Pakistan’s strategic pivot toward Russia in energy and industry, raising the stakes for regional economic and geopolitical alignments.
He said “All of these areas are Russia’s strengths, and we would be very happy if Russia agreed to a deal with Pakistan in this sector,” Aurangzeb said, referring to cooperation in oil exploration, production, and refining. The discussions are currently underway between the energy ministries of both nations.
The partnership could extend beyond crude oil, as Russian Energy Minister Sergei Tsivilev previously disclosed talks about upgrading a refinery in Pakistan with Russian companies.
The move marks a continuation of growing ties between Islamabad and Moscow. Pakistan has been buying Russian crude since 2023, seeking to lower its energy import costs, while Russia looks for new markets in the wake of Western sanctions imposed over the Ukraine conflict.
Aurangzeb also revealed that the two countries are exploring plans to build another steel plant in Pakistan, signaling a potential expansion of industrial collaboration that could bolster the country’s manufacturing sector.
Energy ties between Pakistan and Russia were minimal due to Pakistan’s alignment with West back in day. It was only in the 2020s, following Western sanctions on Russia, that Islamabad began importing Russian crude in 2023, marking the start of a formal energy relationship.
In recent, discussions extend beyond crude imports to refinery upgrades, oil exploration, and industrial cooperation, representing the first significant, sustained partnership between the two nations in energy and industry.
