Islamabad, December 16, 2025: Pakistan and Russia are in discussions on a potential agreement in the oil sector, Finance Minister Muhammad Aurangzeb told RIA News Agency on Tuesday.
“All of these areas are Russia’s strengths. And we would be very happy if Russia agreed on an agreement in this sector with Pakistan,” Aurangzeb said in an interview, referring to cooperation in exploration, production, and refining. He added that the matter is currently under discussion by the energy ministries of both countries.
The remarks come as Islamabad has increasingly engaged with Moscow in energy trade in recent years. Following Western sanctions over Ukraine, Russia has sought new energy markets, while Pakistan has aimed to reduce import costs. Pakistan began importing Russian crude in 2023 under government-led arrangements, with the first shipment of 45,000 tonnes arriving at Karachi port in June 2023. A second cargo of 55,000 tonnes followed later that month, with delays attributed to limited storage at Pakistan Refinery Limited (PRL).
In addition to oil, Aurangzeb confirmed that Pakistan and Russia are exploring the possibility of building another steel plant in Pakistan.
Earlier, in November, Russian Energy Minister Sergei Tsivilev noted that Russian companies were also involved in discussions to upgrade an existing refinery in Pakistan.
The prospective agreement reflects the growing energy and industrial cooperation between the two countries, as Pakistan continues to diversify its energy imports and engage with alternative markets.
