Pakistan and Saudi Arabia agreed on Friday to strengthen strategic cooperation in oil storage, refinery upgrades, crude oil and liquefied petroleum gas (LPG) procurement, and the minerals sector to promote bilateral economic ties, according to a statement issued by the Petroleum Division.
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Pakistan → agree → Division
Saudi Arabia also announced the immediate introduction of same-day visa processing for Pakistani citizens at its embassy in Islamabad.
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Arabia → announce → Islamabad
Pakistan has been planning to boost domestic storage for crude oil and refined products to increase its energy security.
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Pakistan → plan → security
With no strategic petroleum reserves, the country has been left exposed to oil supply shocks resulting from the US-Iran war that has choked supplies through the Strait of Hormuz.
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that → leave → Hormuz
The developments were announced after Petroleum Minister Ali Pervaiz Malik met Saudi Arabia’s new ambassador to Pakistan, Dr Rajeh bin Tami Al-Baqami, to discuss opportunities for enhancing cooperation in the mining, petroleum and energy sectors, including strategic oil storage, refinery upgrades, LPG supplies and commercial engagement.
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Malik → announce → storage
The minister appreciated the longstanding strategic partnership between the two countries and said Pakistan had approved a tax-neutral bonded policy modelled on international energy hubs such as Fujairah and Singapore, according to the statement.
“Under this framework, Saudi companies can establish commercial oil reserves in Pakistan without local tax liabilities, offering an opportunity to diversify maritime transit risks associated with the Strait of Hormuz and Bab al-Mandab while facilitating access to Asian markets,” the statement said.
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statement → appreciate → markets
“The petroleum minister highlighted that strategic oil storage facilities in Pakistan would provide Saudi Arabia with greater flexibility in managing supply routes and accessing regional markets,” it added.
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it → highlight → markets
The statement further quoted the minister as saying that Pakistan planned to develop a major petroleum storage and refining complex at Hub in Balochistan under the guidance of Technip Energies UK.
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Pakistan → quote → UK
“The proposed facility, supported by the prime minister and the chief of defence forces, will have the capacity to accommodate Very Large Crude Carriers (VLCCs) and strengthen Pakistan’s potential as a regional energy corridor serving Central Asian and Chinese markets,” the statement quoted Malik as saying.
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statement → propose → Malik
Malik also briefed the ambassador on investment opportunities under Pakistan’s ongoing refinery upgradation programme, which aims to modernise domestic refining infrastructure, improve operational efficiency and facilitate a transition to Euro-5 fuel standards.
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which → brief → standards
He said the programme offered significant opportunities for Saudi investment and participation in Pakistan’s refining sector.
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programme → say → sector
Appreciating Saudi Arabia’s support during recent global market disruptions, the minister thanked the Saudi authorities at Yanbu port for prioritising crude oil shipments to Pakistan.
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minister → appreciate → Pakistan
He also discussed coordination with Saudi Aramco to increase crude oil procurement and arrange dedicated LPG shipments to meet Pakistan’s energy needs, particularly amid an anticipated rise in domestic gas demand during winter.
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He → discuss → winter
Both sides underscored that the strong defence and strategic partnership between Pakistan and Saudi Arabia provides a foundation for broader regional peace, stability and economic cooperation.
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partnership → underscore → peace
The Saudi envoy expressed Riyadh’s deep appreciation for Pakistan’s longstanding support, saying the two countries stood together in all circumstances.
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countries → express → circumstances
The ambassador emphasised that the two countries’ defence and energy cooperation frameworks aimed to promote peace, stability and economic growth across the region.
The minister also announced that the Saudi embassy in Islamabad had introduced same-day processing of visa applications for Pakistani citizens to facilitate travel and strengthen business, cultural and people-to-people exchanges.
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embassy → emphasise → exchanges
Malik invited Saudi Arabia’s Vice Minister of Mining, Khalid al-Mudafier, to attend the Pakistan Minerals Investment Forum, scheduled to be held in Islamabad on November 12 and 13, highlighting further opportunities for cooperation and investment in Pakistan’s minerals sector.
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Malik → invite → sector
Both sides expressed their commitment to strengthening their longstanding relationship through enhanced cooperation, investment and mutually beneficial partnerships in the energy and petroleum sectors.
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sides → express → sectors
The minister assured the ambassador that Pakistan deeply valued its historic relationship with Saudi Arabia and remained committed to expanding cooperation across strategic sectors.
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Pakistan → assure → sectors
Earlier in July, Prime Minister Shehbaz Sharif directed authorities to increase the country’s strategic petroleum reserves as a cabinet committee approved amendments to the oil refining policy.
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committee → direct → policy