Pakistan has received its first supply of liquefied petroleum gas (LPG) from Russia, according to the Russian embassy in Islamabad, marking the country’s second significant purchase of Russian energy.
The consignment follows Pakistan’s first-ever delivery of Russian crude under a pact the two countries established earlier this year, which the embassy claimed was delivered with Iranian assistance.
A Russian delegation arrived in Islamabad in January 2023 to hold negotiations to seal the deal. The nations agreed to deal with all technical concerns, including insurance, transportation, and payment methods, at the three-day summit in order to finalize an agreement by the end of March this year. A joint statement issued by the two sides had then stated:
“After consensus on the technical specifications approved, the oil and gas trade transaction will be structured in a way it has a mutual economic benefit for both countries.”
The Russian embassy said in a social media post that through Iran’s Sarakhs Special Economic Zone, Russia delivered 100,000 metric tons to Pakistan.
Russia has delivered the first batch of liquefied petroleum gas (LPG) in the amount of 100 thousand metric tons to Pakistan through Iran’s Sarakhs Special Economic Zone. Consultations on the second shipment are underway
🇷🇺🤝🇵🇰 pic.twitter.com/AZJwf5f9I5— RusEmbassy_Pakistan (@RusEmbPakistan) September 26, 2023
Consultations on a second shipment, according to the embassy, are in progress. It didn’t go into detail about Iran’s involvement, and it wasn’t immediately clear how much the LPG cost or whether it was discounted. Pakistan has stated that it paid for the Russian crude in Chinese yuan, but the sum of the transaction has not been disclosed.
The majority of Pakistan’s foreign payments are made up of energy imports, and discounted imports from Russia provide some relief as Islamabad struggles with an acute balance of payments issue and an economic crisis that puts it at risk of defaulting on its external debt.
Source: Dawn
Responsible for delivering local & international automotive news.
