Russia is ready to provide cheap oil to Pakistan: Russian Govt

[Sayfullah]

I’m a pro pti imran khan supporter but I have some simple questions which I can’t find the answers to.

1. Why not Iranian oil which would be:
- much cheaper
- cheaper transportation since Iran is much closer
- easier to avoid sanctions and stay lowkey (already lots of Iranian oil is smuggled into Pakistan on a daily)
- and Iran would allow barter trade for oil so we can trade rice or sugar which we export to Iran which usually imports a lot of it?

2. What will happen to the billions of dollars Gulf countries have deposited in our bank account or the other facilities they give us? Surely Arab countries will pull out the $5 billion or so they currently have deposited if we don’t buy oil from them?

3. What will happen to the long term contracts we have with some Arab countries? Don’t we have contracts with Saudi to get years worth of oil on loan or deferred payments? How about the long term LNG contracts we have with Qatar? Surely Russian oil will not remain cheap forever and we will have to eventually buy from others, but will the Arabs give us such facilities after if we break such contracts right now?

4. Is it worth breaking contracts and severing ties with Gulf countries and usa for buying Russian oil while Pakistan has barely any storage capacity? Russian Ruble is at the strongest since like 2014 and Russian Oil and Gas exports are increasing with many European countries still buying from them so, will it remain cheap forever? If we buy even half a year worth of cheap oil and gas from Russia, since we have almost no storage capacity, after 6 months or so we will face a huge crisis when Arabs won’t offer us the facilities they once did and all oil and gas is at the same price.

5. Continuing on from point 4, we barely refine any oil we import with 70% + of our imported oil already being refined AND, the current refineries in Pakistan, many have closed down due to Furnace oil issue. When we are facing such, will it still make sense to import Russian oil as it won’t offer much benefit and put our refineries in a even more worse state since most of our petro chemicals and support comes from Gulf companies too? Also, aren’t Arab firms major investors in our current refineries so, if we start buying Russia oil, won’t they pull out their investments?

6. Let’s say Russians come in to save our refineries and set up new refineries in Pakistan, but that will take years maybe like 5 years and, wouldn’t by then Russian oil be at the same price with no discount? Wouldn’t we be stuck at buying more expensive oil then because Arab oil has cheaper transportation costs?

7. Currently Pakistan is relying on Arabs to bail us out in our economic mess. We’re bending over for IMF because Arabs told us to get IMF loan first before they bail us out. How will Russian Oil and Gas imports affect this? Energy imports undoubtedly make up majority of our imports however still we don’t gain enough forex yearly to cover our imports even when oil was cheap. So will Arabs still bail us out when we ditch their oil and gas? Is Russia ready to be the next Saudi for us giving us loans etc?

8. How will this affect our exports? Many of our exports go to Arab countries. Many countries import from countries that import from them a lot to keep a balance. If Pakistan lowers its imports from Arab countries, what if the Arabs do the same? Is Russia ready to buy our products then to make up for this?

I will repeat I am pro pti and pro Imran Khan, but I have some questions about Russian oil and gas.

 

[jbond197]

Good for you! I believe all should have free access to the resources at affordable rates. We are filling the pockets of big oil companies at the cost of poor people's lives!!!!

 

[IbnAbdullah]

Salaam

The purpose of this (assuming accurate) statement seems to be to give ammo to IK and further put pressure on the current government.

I was think how could the Russians help IK in this situation given he was ousted partly for trying to improve ties with them. This seems like a good way to do so without it looking like they are openly siding with him.

Initially, after IK made the claim about the option of cheap oil and wheat available from Russia which he planned to purchase was denied as having any basis in reality. Though Mifta Ismail did acknowledge it in a foreign TV interview about this but not here officially.

This statement from the Russians is going to not only support IKs stance (thus he could claim had he remained in power he'd have managed to control the inflation), but it also will put continued pressure on the current government to justify not buying from the Russians.

Do the common people understand or care for the possiblity of upsetting the US and any possible sanctions? Especially if buying it means giving the people much needed relief?

Interesting timing by the Russians.

 

[Olympus81]

The Russians seem to have put the criminal PM in a difficult position.

 

[RealNapster]

Let's see what Musadiq Malik and miftah Ismael have to say now...

First they were saying that Russia never said yes.

Chalo noonio jawab dhodne lag jao Kay kaisy defend krna hy ab government ko agar isky baad b petrol na le russia se.

Pakistan is simply living up to its commitment made to IMF under Imran Khan of removing subsidies

Imran khan Ka Russia Kay Sath petrol ki deal Karna namanzoor. Imran khan Ka expatriates ko vote dena or EVM laana namanzoor. Imran khan Ka NAB mendnt bill namanzoor. Imran khan Ka ehsaas program, langrkhaany, saray namanzoor.

Magar Imran khan ki IMF KY Sath deal manzoor b or us chakar me apni awaam kp b zaleel krna ??? Ye kaha Ka logic Hy Bhai ?

Even after f there a deal of petrol price increase, it was meant to be Rs 4 increase per month... Idhr to Bhai 1 month me Rs 60 increase Aya which means the change that IK was going to make in petrol prices based on the "supposed deal" would have taken 15 months to bring an increase of Rs 60 in petrol prices.

Kuch to khuda Ka khof kro

 

[Dalit]

Pakistan is not on its own. That's the problem. USA decides it, so plenty of excuses can be said about Russian oil, such as Russian oil is too oily, smelly and dirty. Just like the case with IPI pipeline and the cheap Iranian gas.

No doubt. The Yanks call the shots here.

 

[Finer]

Beggars can't be choosers.

Beggars can be chooser hence they chose USA over failed economy Russia. It is not rocket science to figure out why.

 

[farok84]

I’m a pro pti imran khan supporter but I have some simple questions which I can’t find the answers to.

1. Why not Iranian oil which would be:
- much cheaper
- cheaper transportation since Iran is much closer
- easier to avoid sanctions and stay lowkey (already lots of Iranian oil is smuggled into Pakistan on a daily)
- and Iran would allow barter trade for oil so we can trade rice or sugar which we export to Iran which usually imports a lot of it?

2. What will happen to the billions of dollars Gulf countries have deposited in our bank account or the other facilities they give us? Surely Arab countries will pull out the $5 billion or so they currently have deposited if we don’t buy oil from them?

3. What will happen to the long term contracts we have with some Arab countries? Don’t we have contracts with Saudi to get years worth of oil on loan or deferred payments? How about the long term LNG contracts we have with Qatar? Surely Russian oil will not remain cheap forever and we will have to eventually buy from others, but will the Arabs give us such facilities after if we break such contracts right now?

4. Is it worth breaking contracts and severing ties with Gulf countries and usa for buying Russian oil while Pakistan has barely any storage capacity? Russian Ruble is at the strongest since like 2014 and Russian Oil and Gas exports are increasing with many European countries still buying from them so, will it remain cheap forever? If we buy even half a year worth of cheap oil and gas from Russia, since we have almost no storage capacity, after 6 months or so we will face a huge crisis when Arabs won’t offer us the facilities they once did and all oil and gas is at the same price.

5. Continuing on from point 4, we barely refine any oil we import with 70% + of our imported oil already being refined AND, the current refineries in Pakistan, many have closed down due to Furnace oil issue. When we are facing such, will it still make sense to import Russian oil as it won’t offer much benefit and put our refineries in a even more worse state since most of our petro chemicals and support comes from Gulf companies too? Also, aren’t Arab firms major investors in our current refineries so, if we start buying Russia oil, won’t they pull out their investments?

6. Let’s say Russians come in to save our refineries and set up new refineries in Pakistan, but that will take years maybe like 5 years and, wouldn’t by then Russian oil be at the same price with no discount? Wouldn’t we be stuck at buying more expensive oil then because Arab oil has cheaper transportation costs?

7. Currently Pakistan is relying on Arabs to bail us out in our economic mess. We’re bending over for IMF because Arabs told us to get IMF loan first before they bail us out. How will Russian Oil and Gas imports affect this? Energy imports undoubtedly make up majority of our imports however still we don’t gain enough forex yearly to cover our imports even when oil was cheap. So will Arabs still bail us out when we ditch their oil and gas? Is Russia ready to be the next Saudi for us giving us loans etc?

8. How will this affect our exports? Many of our exports go to Arab countries. Many countries import from countries that import from them a lot to keep a balance. If Pakistan lowers its imports from Arab countries, what if the Arabs do the same? Is Russia ready to buy our products then to make up for this?

I will repeat I am pro pti and pro Imran Khan, but I have some questions about Russian oil and gas.

Hi,

The credit line extended by GCC will continue to be utilized for importing GCC Crude Oil/ Gas and specially their Petroleum Products. We are not breaking any contracts with GCC to facilitate Russian O/G imports. The LNG will be on top of Qatar LT contracts, its not a replacement for Qatar but for our spot purchases, Gunvor and ENI contracts.

We were looking to get into LT contracts at discounted rate for all petroleum (Crude Oil, LNG, Products) imports from Russia, it won't be spot buys nor at spot rates but reportedly at 30% discount (on prevailing rates for the length of the contract likely 10 years). For LNG, it would have to be below or match our Qatar 2021 contract (this remains true for any future LT LNG contracts, TAPI or IP gas).

Iranian Gas through IP is actually more expensive than Qatar LNG (2016) contract, unless it's price is renegotiated, no government in Pakistan will agree to lay the pipeline. We do get some Iranian Crude/ Products but through back channels (STS in international waters etc), one of our large refinery has a long established history of importing Iran Oil. We should import Iranian Crude if they are offering same price as Russian around $80/bbl (Brent is hovering above $120/bbl).

 

[farok84]

How long PTI long march /dharna lasted? 1 min?

Jo kaha hai wo dou..Russian source!!! Fake propaganda karnay walo...Russian source manga hai aur Maryam p chala gya.

 

[AZ1]

https://twitter.com/x/status/1534995413270511626

 

[Two banks of the River]

If bought in large amounts upto 20 USD per barrel in oil , upto 10 USD per metric ton in coal and a pre war rate for Fertilizers can be obtained from Russia in barter trade for food, textiles, light machinary and medicines . This is what India is doing. Infact it's allowing pvt oil refiners of India to sell the refined Russian oil to Europe undercutting other players and still obtain substantial profits.

 

[Enigma SIG]

https://twitter.com/x/status/1534978070293139456

 

[FuturePAF]

Russia is offering 30% discount oil from market price to China and India already. There is no reason why Pakistan should not take advantage.

Americans and Europeans don't give a damn about Pakistan, so why should you suffer high oil price along with them?

https://twitter.com/x/status/1534978070293139456

P.s.

Just saw @Enigma SIG beat me to posting this but IMHO it answers your why question, so It’s worth linking to your question.

 

[muhammadhafeezmalik]

https://twitter.com/x/status/1534995413270511626

Look at the laugh of ambassador, he was trying to control himself.

 

[HAIDER]

Patwari account who joined 17 mins ago has been detected.

Maryam still providing payment in rupees or is she loaning her Nani movie collection in return for your posts?

No one talks about how the brainchild of Marim Nawaz PIA Premier airline lost billions of rupees and end up losing all assets. Nawaz literally rule Pakistan as some fvckin Royal ... sorry to say .. Lahore is full of Nawaz family slaves ....