Pak-Arab Refinery Company has secured alternative crude oil supplies that bypass the Strait of Hormuz, allowing Pakistan’s largest refinery to continue operations despite disruptions in the region.
According to reports, the refinery arranged two cargoes of 70,000 barrels each through routes outside the Strait. These shipments extend the refinery’s crude stock cover until March 25, compared with the earlier estimate of March 15.
One cargo has been sourced from Abu Dhabi National Oil Company via the port of Fujairah on the Gulf of Oman, which lies outside the Strait of Hormuz. The second shipment was secured from Saudi Arabia through the East-West Crude Oil Pipeline, also known as Petroline, which transports crude from Saudi Arabia’s eastern oil fields to Red Sea export terminals while bypassing the chokepoint.
PARCO processes about 120,000 barrels of crude per day and has been operating at full capacity for more than a year, making it a critical component of Pakistan’s fuel supply chain. The refinery usually receives Emirati crude under a long-term supply agreement with ADNOC, with shipments typically passing through the Strait of Hormuz.
However, a vessel operated by Pakistan National Shipping Corporation, MT Karachi, is currently stranded in the Strait while carrying crude destined for PARCO, highlighting the operational risks caused by the ongoing disruption.
Officials said refinery management is actively exploring additional shipments through alternative routes. If the crisis worsens, Pakistan may formally approach Saudi Arabia to seek preferential access to crude exports shipped through Red Sea terminals.
Energy analysts warn that although crude oil deliveries can be partially rerouted, Pakistan’s liquefied natural gas imports remain vulnerable. The country depends heavily on Qatari LNG, meaning prolonged instability in Gulf shipping routes could still pose serious challenges for energy security.
