Pakistan Stream

Main article: Oil and gas production

In Pakistan, gas consumption is growing due to power plants under construction and operating on gas. It is mainly due to this that gas imports to the country are growing. The Russian side can benefit from the existing technologies for the construction of both pipelines and gas power plants. By building infrastructure in Pakistan, Russia is stimulating demand for raw materials. And even though this raw material will not be Russian. Through the gas pipeline through Iran, gas from the same Qatar will go to Pakistan. And this means that an oversupply of gas will leave the market focused on Europe. The less gas on offer, the higher its price in the European market will rise. This is precisely what the policy of the future development of the gas industry in Russia is focused on. The benefit of Russia is laid down here.

In 2021, the North-South gas pipeline was renamed Pakistan Stream

2022: Russia and Pakistan ready to sign papers for Pakistan Stream

In January 2023, it became known that Russia does not exclude the possibility of joining the TAPI gas pipeline project under construction on the Turkmenistan-Afghanistan-Pakistan-India route.

The issue of oil and gas supplies from Russia to Pakistan will be agreed by the end of March 2023. The Russian Federation and Pakistan have reached conceptual agreements on the supply of oil and oil products, the Ministry of Energy of the Russian Federation reported.

We believe that Pakistan needs to negotiate with Novatek and Gazprom on LNG supplies starting from the end of 2023.

Russia Russia and Pakistan are exploring the possibility of doing business through barter.

2021: Russia and Pakistan sign agreement to build Pakistan Stream gas pipeline

In May 2021, Russia and Pakistan signed an agreement on the construction of the Pakistan Stream gas pipeline (formerly North-South).

A pipe of 1,100 kilometers, with a capacity of up to 12.4 billion cubic meters per year, will connect the terminal of the port city of Karachi in southern Pakistan with Lahore. The cost of the project is $2.5 billion.

After new negotiations, when the final deal was concluded - all previous agreements were rewritten. The share of Pakistani companies in the project increased to 74% and the Russian side had only a blocking stake of 26%.

The configuration of the company leading the construction has been changed due to sanctions. Investments in the project are now distributed proportionally and the Russian side will be represented by a consortium that will provide construction with materials, necessary compressor stations and pipes.

2019

In 2019, negotiations were held, where Pakistan's share in investments in the gas projected branch increased.

2015: Start of negotiations between Russia and Pakistan on the construction of the North-South gas pipeline

The discussion of laying a gas pipe from the port of Karachi to the northern town of Lahore, began between Russia and Pakistan in 2015. This project was called "North-South." After construction, the Russian side had to own a controlling stake of 51% and had to bear the construction costs in the amount of 85% of the total amount due. The rest of the money was to be paid (Pakistan at that time Pakistan was pulling a gas pipeline from to Iran its territory). Under the agreement, it was prescribed that the Russian side would manage a branch stretching from south to north for twenty-five years.

But then world sanctions came to the Russian side. The question arose about the sub-sanctionality of Rostec and TMK, which represented the Russian side. Representatives of Pakistan took care and postponed everything and postponed the start of this project.

See also

• Gas exports from Russia