Pakistan on Monday formally requested Saudi Arabia to provide 0.2 million barrels of oil per day on deferred payments for as much as three months, besides $2 billion worth of oil supply for at least two years.
At the delegation-level talks held here at the Ministry of Energy, Pakistan also offered Saudi Arabia to invest in LNG-fired power plants as well as industrial zones to be set up as part of China-Pakistan Economic Corridor (CPEC) initiative.
The Saudi delegation was led by Riyadh’s adviser on energy Ahmad Hamed Al-Ghamdi while Energy Minister Omar Ayub represented Pakistan,
The Saudi delegation is expected to sign four memorandums of understanding for oil and mineral sector investment and trade cooperation that would ultimately extend the Chinese Belt and Road Initiative (BRI) from Gwadar to Africa through Oman and Riyadh.
Ayub informed the Saudi delegation about the power production and new hydropower projects in Pakistan, adding that there was a huge potential of investment in energy sector. He assured the delegation that foreign investors will be facilitated by the government at every level.
Briefing on the potential sites for solar, wind and hydel energy, the minister said that the present government was keen to harness the potential for renewable energy, making it affordable for the people. He highlighted the opportunities for investment in the fields of electricity generation and transmission in Pakistan.
The Saudi delegation assured full cooperation in resolution of problems faced by energy sector in Pakistan.
The delegation also met Advisor to Prime Minister on Commerce, Textile, Industry and Investment Abdul Razaq Dawood. During the meeting, held at a local hotel, matters pertaining to strengthening the bilateral trade relations were discussed. The issue of increase in job quota for Pakistanis in the Kingdom was also raised by Dawood.
In the second rounds of talks, the Saudi delegation will hold separate meetings with Federal Minister for Petroleum and Natural Resources Ghulam Sarwar Khan and Finance Minister Asad Umar.
During its six-day visit to Pakistan, the Saudi delegation is likely to sign an MoU to make investments in the Balochistan Reko Diq gold and copper mines. Similarly, agreements to sell phosphate fertilisers to Pakistan is also expected to be signed by the delegation. Saudi Arabia had also offered to set up a multi-billion-dollar oil refinery in Gwadar besides acquiring stakes in LNG-fired power plants in Punjab.
Published in Daily Times, October 2nd, 2018.
