Pakistan to import oil via Red Sea amid Gulf tensions

WEB DESK: In response to escalating conflict in the Gulf region, the Pakistani government is planning to import oil through the Red Sea, bypassing the Strait of Hormuz. The move comes as tensions between Iran, the United States, and Israel threaten global oil supplies. Officials are also introducing a weekly oil price review mechanism to curb hoarding and ensure steady availability of petroleum products.

Red Sea Route Secures Oil Supplies

According to The Express Tribune, that Pakistan which imports roughly one million barrels of oil monthly, is taking proactive measures to safeguard its energy supply. Key suppliers, including Saudi Arabia’s Aramco and UAE-based ADNOC, will deliver oil shipments via the Red Sea. A few shipments have already reached Pakistan, while others remain en route.

The government has placed oil cargo vessels of the Pakistan National Shipping Corporation on standby to facilitate timely collection from the region. Additionally, the Oil and Gas Regulatory Authority (OGRA) has maintained 28 days’ stock of petrol and diesel, ensuring short-term stability despite the disruption caused by the closure of the Strait of Hormuz.

Weekly Price Reviews to Curb Hoarding

To counter potential price surges following the Gulf conflict, the government plans to shift from fortnightly to weekly oil price reviews. Sources indicated that the recent war could push fuel prices up by as much as Rs50 per litre.

Experts warn that if hostilities continue, the global oil market could face a severe crisis, as roughly one-fifth of the world’s oil consumption passes through the Strait of Hormuz. Pakistani authorities, however, remain confident that pre-emptive imports and careful stock management will safeguard the country’s energy needs.