Energy ministry ascertaining facts after Russian embassy says LPG delivered to Pakistan

Published
0
Russia delivered the first shipment of LPG to Pakistan on Wednesday. — photo by Russian Embassy
Russia delivered the first shipment of LPG to Pakistan on Wednesday. — photo by Russian Embassy

The Ministry of Energy said on Wednesday that Islamabad was ascertaining facts after Russia’s embassy in the country tweeted that Moscow had made its first Liquefied Petroleum Gas (LPG) delivery to Pakistan.

The Russian embassy posted on social media site X, formerly Twitter, late on Tuesday that 100,000 tons of LPG had arrived in Pakistan through Iran’s Sarakhs Special Economic Zone, and consultations on a second shipment were underway.

Energy imports make up the majority of Pakistan’s external payments and discounted fuel from Russia offers some respite as Islamabad faces an acute balance of payments problem, risking a default on its external debt.

Pakistan received its first delivery of Russian crude under a deal struck between the two countries earlier this year.

In January 2023, a Russian delegation had arrived in Islamabad for talks to finalise the deal. During the three-day meeting, the countries decided to address all technical issues — insurance, transportation and payment mechanisms — to sign an agreement by late March this year.

“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,” a joint statement issued by the two sides had then stated.

In a statement sent to Reuters, the energy ministry said LPG being imported by private entities from Iran via a land route might be of Russian origin, adding that the government itself does not import the fuel.

The Russian embassy did not respond to an emailed request for comment.

Market, industry and official sources questioned the size of the consignment, however, saying such an amount of LPG was too much to have arrived by road and would have required around 4,000 containers to carry it.

An industry source in Moscow said LPG shipments from Russian plants, mainly owned by Gazprom, to Sarakhs between February and April totalled around 5,000 tonnes.

“We don’t know which part of these 5,000 tonnes were delivered from Sarakhs to Pakistan,” the source said.

At the time of the crude deal, Moscow said Islamabad would need to make any LPG purchases via the Russian private sector.

Pakistan has said it had paid for the Russian crude in Chinese currency but the value of the deal was never disclosed.

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Real FBR reform
21 Oct, 2026

Real FBR reform

REFORM of the FBR has always been easier to promise than to deliver. Since the late 1990s, governments have tried...
Missing lawmakers
Updated 21 Oct, 2026

Missing lawmakers

Some lawmakers have reportedly been in detention since before Oct 11.
Tackling rabies
21 Oct, 2026

Tackling rabies

RABIES is a deadly but preventable zoonotic disease. On Monday, two more victims succumbed to it in Sindh, taking ...
Burnt bridges
Updated 20 Oct, 2026

Burnt bridges

If PPP wants the decision reversed, it should convince its ally in Islamabad, not ask the opposition to be ‘positive’.
Toll on trade
Updated 20 Oct, 2026

Toll on trade

Islamabad must find the right balance between its security priorities and the economic strain on KP’s residents.
French protests
20 Oct, 2026

French protests

SEVERAL European states have witnessed mass protests over the past few days, mostly focusing on socioeconomic...