However, the ongoing US-Israel-Iran conflict has created new risks. Two crude oil cargoes meant for Pakistan are currently stuck due to the closure of the Strait of Hormuz.
The Strait of Hormuz is a narrow sea route, about 21 miles wide. Nearly one-fifth of the world’s oil passes through it. Last year, around 20 million barrels of crude oil, condensate, and fuel moved through this route every day.
Major oil-producing countries such as Saudi Arabia, Iran, the United Arab Emirates, Kuwait, and Iraq use this passage to export most of their crude oil, mainly to Asian markets.
Officials said they had anticipated rising tensions in the Middle East. Therefore, oil reserves were increased to over 25 days in January and 28 days in February through surplus imports.
Sources confirmed that two crude shipments are delayed due to the closure, while other scheduled imports are expected to arrive on time.
Earlier, the Petroleum Division directed Ogra to ensure adequate stocks of crude oil and petroleum products to avoid any supply disruption. It also instructed authorities to closely monitor imports of petrol, diesel, and LPG to ensure timely deliveries amid the evolving security situation in the Gulf.
In a high-level meeting chaired by Petroleum Minister Ali Pervaiz Malik and Finance Minister Muhammad Aurangzeb, the government assured citizens there was no cause for concern.
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The State Bank governor also stated that there would be no delay in oil-related payments, allowing refineries and oil marketing companies to continue with smooth import operations.
Meanwhile, global oil markets are reacting strongly. The oil-producing alliance, the Organization of the Petroleum Exporting Countries (OPEC), is considering a larger output increase due to concerns about supply.
Producers may raise output by 411,000 barrels per day in April, compared to the previously expected increase of 137,000 barrels per day.
Saudi Arabia and the United Arab Emirates have already increased exports to manage potential disruptions. Saudi shipments reached near three-year highs in February, while UAE Murban exports are expected to rise in April.
International oil prices have also surged. Brent crude briefly crossed $82 per barrel, reaching its highest level in months.
