Pakistan and Kuwait Agree on Strategic Oil Reserves and Enhanced Refinery Cooperation

Pakistan’s Ministry of Oil announced that the country has reached an agreement with Kuwait to build strategic fuel reserves and expand refinery cooperation. The agreement was finalized during a meeting between Ali Pervez Malik, Pakistan’s Oil Minister, and Nasser Abdulrahman Al-Mutairi, Kuwait’s Ambassador to Islamabad.

Under this understanding, the credit facilities for purchasing oil from Kuwait will be extended for another two years. Currently, about 60 percent of Pakistan’s diesel demand is supplied by Kuwait, highlighting Islamabad’s significant dependence on energy resources from the Gulf country.

During the meeting, Pakistan’s Oil Minister expressed gratitude to Kuwait for dispatching an emergency shipment of 55,000 tons of fuel after the Strait of Hormuz was blocked, describing it as a practical example of cooperation between the two nations. The Strait of Hormuz is one of the world’s main oil transit routes, and any disruption there can impact regional markets.

In response, the Kuwaiti Ambassador referred to Pakistan’s diplomatic role in easing tensions between Iran and the United States, emphasizing that regional stability is vital for sustaining strategic energy cooperation. He stressed that continued security and tranquility in the region provide a foundation for increased investments and the development of joint collaborations.