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Pakistan begins transporting much-awaited Russian oil to refinery

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  • Crude oil being shifted to Pakistan Refinery Limited.
  • The entire oil will be shifted to refinery tomorrow.
  • Vessel reached Pakistan waters from Port of Oman.

KARACHI: Local authorities have begun transporting the much-anticipated discounted Russian crude oil from the vessel to a refinery in the port city, people familiar with the matter told Geo News Monday.

People in the facility said that of the 45,000 metric tonnes of crude oil, 3,000 metric tonnes had been offloaded from the ship to Pakistan Refinery Limited (PRL).

They added that the crude oil, which took more than 20 days to reach the country, will be entirely shifted to the refinery tomorrow. The vessel reached the Pakistani waters from the Port of Oman.

Prime Minister Shehbaz Sharif announced Sunday that the cargo had reached Karachi — a first for Pakistan, which has traditionally imported the commodity for oil-rich Gulf nations.

“I have fulfilled another of my promises to the nation. Glad to announce that the first Russian discounted crude oil cargo has arrived in Karachi and will begin oil discharge tomorrow.”

“Today is a transformative day,” he said.

In April, Pakistan placed its first order for discounted Russian crude oil under a new deal signed between Islamabad and Moscow.

The News reported that after refining the crude, a test report would be submitted to the government on the quality, yields, transportation cost, and commercial viability of the crude oil.

Following the approval of the report, the government will go for a long-term government-to-government (gtg) deal with Russia.

The test cargo will also help the government assess the transportation costs, refining costs, and margins for refineries and also to know how smooth the payment mechanism that has been carved out based on the Yuan currency.

Pakistan imports 70% of its crude oil, which the PRL, National Refinery Limited, Pak Arab Refinery Limited, and Byco Petroleum refine.

The remaining 30% is locally produced and refined by the local refineries, including Attock Refinery Limited.

The move to import oil from Russia comes as Pakistan is looking to diversify its sources of oil imports amid rising global prices.

Russia is a major producer of crude oil and has offered the country discounted oil prices. The payment for the Russian crude will be made in Yuan through the Bank of China.

The Russian crude is reported to have come to Pakistan at $50-52 per barrel against the price cap of $60 per barrel imposed by the G7 countries, so at this cost, the furnace oil cost may go in a positive trajectory.

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Islamic Sukuk Bonds: Government Is Expected To Begin Bond Auction Next Week

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There is now more positive economic news for the people of Pakistan. The government is anticipated to begin the Sukuk Islamic Bond auction next week, after the central bank’s announcement of a large drop in the policy rate.

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SIFC Encourages Green Tourism: Reforming Visas to Increase Investment

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Enhancing investment in the tourism sector, Green Tourism Pakistan’s initiative has received backing from the Special Investment Facilitation Council.

Visa-On-Arrival for 126 countries, Visa-Free Entry for Gulf Cooperation Council nations, and 24-hour expedited visa processing are some of the main features of the Green Tourism Visa Policy.

It is anticipated that these endeavors will draw in about 80 million dollars in foreign direct investment and 8.3 billion rupees in domestic investment.

Green Tourism Private Limited has introduced hunting resorts in Naltar, Hunza, and Skardu, along with four- and five-star city hotels, to improve the tourism experience.

In the first phase of the project, 17 of the 78 areas have seen the start of development activity.

Approved is a central authority for Green Tourism that will supervise the growth of Air Operations.

To promote Religious Tourism, extra precautions have been taken to guarantee the security of visitors from all religions, including Sikhs and Buddhists.

Furthermore, in order to improve the quality of the tourist experience, the green guide quality program has been introduced to supply top-notch tour guides.

There is now a deluxe bus excursion from Islamabad to Peshawar that promotes local culture.

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July 2024 export data from Pakistan shows a significant rise.

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The Strategic Investment Facilitation Council (SIFC) has been instrumental in improving Pakistani products’ access to international markets, as seen by the significant surge in exports from the country at the start of the 2024–25 fiscal year.

With a 7.26% rise over the same month the previous year, July 2024 exports to the US were $476.017 million. After increasing by 7.74% annually, the United Arab Emirates emerged as the second-largest export destination.

The third and fourth places were occupied by exports to the UK ($183.303 million) and China ($60.100 million). A substantial increase in exports to Afghanistan was recorded in July of this year, rising from $46.262 million to $88.065 million, largely due to successful anti-smuggling efforts.

With a combined export volume of $553.951 million, more important export destinations included Germany, the Netherlands, Italy, Spain, Saudi Arabia, and Turkey.

A bright future for the national economy is suggested by the growing confidence major international markets have in Pakistani exports. Through the efforts of SIFC and the government, this greater access to global markets has been made possible.

Pakistan’s economy is predicted to remain stable as a result of the export growth that SIFC has enabled.

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