KARACHI: Pakistan refiner Cnergyico imported country’s first private-sector shipment of Russian crude oil, it said as cash-strapped nation takes advantage of Moscow’s discounts on its oil exports.

South Asian nation has started snapping up crude oil that Russia has discounted after its exports were banned from European markets over Russia’s invasion of Ukraine.

Pakistan’s first cargo, imported by government, arrived in June and second government-to-government shipment is under negotiation. It had been assumed that private imports would not be commercially viable because, among other things, cargoes have to be split and transferred to smaller ships as Pakistan’s ports cannot handle large tankers.

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But Cnergyico used its single point mooring, which can accommodate deep-draft tankers, company spokesman said in response to questions from Reuters.

Crude is to be refined at company’s refinery in southwestern city of Hub. Processing 100,000-metric-tonnes shipment of Urals crude “Marks an important milestone for company and for country as well,” said spokesman. Cnergyico operates largest refinery in Pakistan, with capacity of 156,000 barrels per day accounting for one-third of national capacity of 450,000 bpd. It is only refinery with its own single point mooring. Cnergyico said it expects to make Russian imports viable through export of furnace oil to generate foreign exchange.

Published in The Daily National Courier, October, 03 2023

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