State Oil Company of the Azerbaijan Republic (SOCAR) is disappointed with Pakistan’s Ministry of Petroleum over its lethargic response to the former’s proposal of providing multi-million dollar credit lines for oil and gas supplies to Pakistan.
According to details, SOCAR had offered two credit lines of over $220 million for oil and gas supplies to Pakistan. However, the Ministry’s unexplained and prolonged silence over the offer has frustrated Azerbaijan’s state-owned company.
SOCAR’s proposal came in March after the visit of Azerbaijan’s Foreign Minister, Jeyhun Bayramov, to Pakistan in January this year in which both countries agreed to expand bilateral cooperation in oil and gas sectors and build upon the strategically friendly relationship.
SOCAR had offered to supply petroleum products and LNG cargos to Pakistan State Oil (PSO) and Pakistan LNG Limited (PLL) round the year on credit under a government-to-government (G2G) arrangement. The offer involved two separate credit lines of $120 million for LNG and $100m for petroleum products.
Recently, Chief Operating Officer (COO) of SOCAR, Toghrul Kocharli, called on Pakistan’s Ambassador to Azerbaijan, Bilal Hayee, to inquire about Pakistan’s response to SOCAR’s proposal.
During the meeting, COO SOCAR said that Azerbaijan is still willing to engage with Pakistan to help in overcoming the energy needs of the brotherly state.
Following the meeting, Pakistan’s envoy has alerted the federal government to address the issue in a way that does not damage the close friendly relations between Pakistan and Azerbaijan.