Russian team arrives in Islamabad for oil talks

In an important development, a high-level Russian delegation headed by Moscow’s minister for energy on Tuesday reached Pakistan for three-day bilateral talks, reported 24NewsHD TV channel. 

The delegation will attend the 8th session of the Inter-Governmental Commission (IGC) along with Pakistan and China on trade and cooperation scheduled to take place from 18-20 January.

The delegation, comprising 80 members, will hold bilateral talks on the oil and liquefied natural gas (LNG) trade deal for a long-term basis and the much-touted flagship $3 billion Pakistan Stream Gas Pipeline (PSGP) project.

According to the sources, the purchase of crude oil and petroleum products at a 30% discount from Russia will be discussed and talks on the purchase of gas will also be held.

If Pakistan is able to secure deals at discounted rates, this would allow the cash-strapped country save to the tune of $2 billion on an annual basis, they added. 

Federal minister for economic affairs Sardar Ayaz Sadiq will head the Pakistani delegation. 

Islamabad and Kremlin will exchange views on electric power, hydropower, renewable energy sources, and oil, and gas production cooperation. If cash-strapped Pakistan can secure deals at a 30% discount, the country would be able to save over $2 billion annually.