In a surprising turn of event, Pakistan has recently announced its decision to halt Russian oil imports. And now, cheap Russian oil remains a dream. This decision has sent shockwaves through global energy markets and raised questions about the reasons of such a move.

According to sources within the energy sector, Pakistan has decided to halt its crude oil imports from Russia due to an issue during the refining process. The refining procedure resulted in a higher production of furnace oil compared to petrol.

Furthermore, insiders suggest that Pakistan Refinery declined to continue processing additional Russian oil due to the fact that it generated a lower amount of petrol and 20% more furnace oil compared to Arabian crude oil. These sources also pointed out that the advantages of importing Russian crude oil were constrained, as it led to a higher volume of furnace oil being exported at a reduced price.

Furthermore, as per information from sources within the industry, Pakistan Refinery has currently suspended its refining of Russian oil, disregarding the urging of former state minister for petroleum, Musadik Malik.

Another Petrol Price Hike

In a series of updates, Pakistan braces itself for another potential petrol price hike twice in the same month. The looming increase, attributed to the rising global petroleum market, could hit wallets hard as early as August 16. The caretaker government is set to announce the new prices on August 15, setting the stage for what could be a challenging situation for the nation.

Reports suggest that petrol might see a sharp spike of Rs. 15 per liter, while diesel could become costlier by Rs. 20-24 per liter. This anticipated escalation in petroleum costs directly results from the commodity’s soaring value on the international market.

What do you think about the recent updates on petroleum products in Pakistan? Drop your thoughts in the comments section.