US firm close to discovering huge Oil reserves in Pakistan, bigger than Kuwait’s

“The American energy firm Exxon Mobil  has drilled up to 5,000 meters near the Pakistan-Iran border”, informed  Minister for Maritime and Foreign Affairs Abdullah Hussain Haroon.” The huge oil reserves are on the verge of discovery near the Pakistan-Iran border which could be even bigger than Kuwait’s oil reserves”, he added while addressing business leaders at the Federation of Pakistan Chambers of Commerce and Industry (FPCCI).

If the expected oil reserves are discovered, Pakistan could become the six-most oil producing countries in the world. Pakistan imports 85% of oil to meet its domestic petroleum needs. The country is facing huge current account deficit of up to $18 billion. And a substantial amount of foreign exchange reserves are spent on import of oil.

If the discovery of oil reserves is successful it could bring in a lot of money for Pakistan and help its troubled economy.

Pakistan’s government has already signed an undertaking from Exxon Mobil to set up a generation complex worth $10 billion. Also, the US energy giant firm is putting up an LNG berth at Port Qasim.

“Pakistan is providing a level playing field to foreign investors and they are interested in coming to Pakistan. What we need to do is to meet their standards and attract them to make investment”, Mr. Haroon further added.

Exxon Mobil had acquired 25 percent stakes in offshore drilling in Pakistan in May 2018.