Pakistan Partners with Gulf Nations for Oil Storage to Enhance Energy Security
Pakistan is set to collaborate with Saudi Arabia, Kuwait, and Qatar on an oil storage scheme aimed at bolstering its energy security. The initiative comes as Pakistan lacks strategic petroleum reserves, leaving it vulnerable to oil supply disruptions, particularly due to geopolitical tensions such as the US-Iran conflict affecting the Strait of Hormuz. The plan involves these Gulf countries storing their oil in Pakistan, allowing Pakistan the option to purchase these reserves in times of conflict. The government estimates that $500 million is needed for a month's worth of crude oil storage, with an additional $300-400 million required for an underground storage system. Currently, Pakistan imports about 90% of its energy needs, with domestic production at 70,000 barrels per day against a demand of 500,000 barrels. 
