Pakistan's dependence on China has been growing, causing concern in Washington, particularly over its energy needs.

By Aniket Chakraborty Aug 1, 2025 Arrow WORLD NEWS

Oil is Pakistan's largest import, costing $11.3 billion in the year ending June 2025, almost 20% of its total imports.

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Despite potential shale oil reserves of 9.1 billion barrels, Pakistan’s oil extraction remains underdeveloped.

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Experts warn that confirming Pakistan's oil and gas reserves could take up to 10 years due to under-explored seismic data.

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Former PM Imran Khan's announcement of a massive offshore oil find in 2019 was later denied by Pakistan’s Petroleum Division.

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Oil majors like ExxonMobil and ENI have pulled out of Pakistan due to security concerns, particularly in Balochistan.

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Balochistan, rich in resources, remains a volatile region due to political tensions and military involvement.

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Some experts suggest that a US-Pakistan energy alliance could drive Pakistan’s energy independence and industrial growth.

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If successful, Pakistan could reduce its import burden and potentially become a modest energy exporter, impacting India’s energy markets

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Pakistan continues to rely on Iranian petrol and diesel, with smuggled oil making up 14% of its annual consumption in 2023.

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