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Pakistan refineries seek alternative crude as Hormuz and Red Sea risks rise
Pakistan’s oil minister has told refinery executives to identify alternative crude sources to keep supplies uninterrupted, with U.S., Nigeria and central Asia among options being evaluated.
Pakistan’s refiners are reaching out to traders about additional crude oil supply sources as Middle East shipping risks intensify, threatening flows through both the Strait of Hormuz and the Red Sea, according to OilPrice citing The News.
After a meeting with Pakistan’s federal petroleum and natural resources minister, refinery executives were asked to step up efforts to secure non-Middle Eastern cargoes. Pakistan Arab Refinery Company, Pakistan Refinery Limited, and National Refinery Limited continue importing crude via the UAE through the Port of Fujairah outside the Strait of Hormuz, but imports of Saudi crude from the Red Sea port of Yanbu have become uncertain due to Houthi threats to shipping at the Bab el-Mandeb Strait.
Pakistan’s oil minister directed refinery executives to immediately identify alternative crude sources to ensure uninterrupted supplies, senior officials who attended the meeting told The News. Evaluations include the U.S., central Asia, and Nigeria, Africa’s top crude producer, as refiners look to diversify away from higher-risk routes.
OilPrice also notes that refiners have continued contacting traders while the possibility of renewed closures of Hormuz and Red Sea disruptions remains in focus for crude supply planning.
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