Tazeen Akhtar
Energy-rich country of South Caucus is likely to become another destination for Pakistan to solve its energy crisis in the shape of not only the shortage of energy but in the case of prices as well. Azerbaijan, the brotherly country of Pakistan has already offered cooperation to supply petroleum products at lower rates and deferred payments. The latest developments depict that Pakistan is also keen to build energy communication with Azerbaijan and that is why State Minister for Petroleum Musaddaq Malik is visiting Baku.
Dr Musaddaq Malik called upon Minister of Energy Parviz Shahbazov and Deputy Minister of Economy Rovnaq Abdullayev in the capital of Azerbaijan. Both sides discussed the prospects of working on the energy and petroleum sectors closely. Azerbaijani side expressed its willingness to partner with Pakistan in sharing its energy resources with Pakistan. Ambassador of Pakistan Mr. Bilal Haye was also present at this occasion.
Both countries were in contact on different levels on the trading of Azerbaijani petroleum and gas with Pakistan on convenient terms and conditions. Latest, in this regard, Dr. Musaddiq Malik assured his full support to form working groups in these sectors and the appointment of a focal person who will be responsible for collaborations.
Pakistan has huge potential for oil and gas exploration. Both countries will discuss avenues of cooperation in this sector. Azerbaijani companies are interested in forming joint ventures with Pakistani counterparts as well as making investments in the oil and gas sector.
Azerbaijan’s state oil company SOCAR offered investments worth US $ 1 Billion in the LNG sector varying from the terminal establishment to short-term loans and deferred payment facilities. Pakistan could not respond to the offer in time which provided an opportunity for a section of media to spread disinformation about concerns or disturbance of SOCAR on so-called “Silence” from Pakistan on this gracious proposal.
SOCAR Trading offered a supply of petrol and LNG cargoes to Pakistan LNG Ltd (PLL) and Pakistan State Oil (PSO) round the year on credit under a government-to-government (G2G) arrangement. In April 2019, The Ambassador of Azerbaijan Ali Alizada said they are also prepared to give Pakistan oil and gas on deferred payment. In June 2022, Ambassador Khazar Farhadov met with Dr Musaddaq Malik and reiterated the offer by Azerbaijan.
The ongoing visit of Dr Musaddaq Malik is being observed as a hope that both countries will soon sort out the matters and cooperation in the oil and gas sector will be matured at the earliest. Both sides are ready, they have cordial relations in all spheres, trust each other and always stand with each other. Therefore a close partnership in the energy sector can soon be shaped up that will certainly help solve the crisis in Pakistan.
