KARACHI: Pakistan and the Kingdom of Saudi Arabia have finalized the Memorandum of Understand (MoU) for the construction of multi-billion dollar Saudi Aramco oil refinery in Gwadar deep seaport city, located in Balochistan province, officials said on Thursday.
Pakistan is expecting to sign a number of investment deals including the construction of mega oil refinery in the month of February in the presence of a high-level Saudi delegation, confirmed Information Minister Fawad Chaudhry.
“The oil refinery project is the biggest investment project of Saudi Arabia in Pakistan,” he added.
Pakistan and Saudi Arabia have lately expressed renewed interest in enhancing bilateral strategic and trade engagements while the Kingdom also pledged $3 billion in a financial assistant to help Pakistan out of its economic woes.
“A 15-member delegation of Saudi Arabia visited Gwadar from Karachi as part of the finalization process of the MoU for Aramco oil refinery,” Haroon Sharif, Minister of State and Chairman of Pakistan Board of Investment (BoI), told Arab News.
“We have finalized the MoU for the construction of Aramco oil refinery,” Sharif said adding that “overall directions have been agreed upon and the agreement will be signed at an ‘appropriate time’.”
Pakistani authorities expect $15 billion investment from Saudi Arabia after Prime minister Imran Khan chose the Kingdom for his maiden visit and consequently made two official visits.
Earlier, the BoI chief had said that “We are going to sign MoUs with Saudi Aramco and Acwa Power within few weeks. Saudi Aramco is going to set up oil refinery and petrochemical complex in Pakistan while Acwa Power will invest in Pakistan renewable energy sector”, Sharif informed.
As part of the investment plan, the Saudi Aramco will construct petrochemical complex housing multi-billion dollar oil refinery.
“I am expecting around $15 billion investment from Saudi Arabia in the next 3 years. The inflow of investment for oil refinery and petrochemical complex in Pakistan is estimated to be between $6 billion to $10 billion,” BoI Chairman told Arab News.
Pakistan hopes to attract more than $40 billion in Foreign Direct Investment (FDI) during the next five years. “We estimate that roughly around $40 billion investment will be made by these three countries (Saudi Arabia, UAE, and China) in the next three to five years,” Sharif had told Arab New during his recent interview.
During the recent visit of the Saudi delegation to Gwadar, the Chairman of Gwadar Port Authority, Dostain Khan Jamaldini, on Wednesday gave a briefing about the current developments including the port, progress on China-Pakistan Economic Corridor (CPEC) and Gwadar Master Plan.
Pakistan, KSA set to ink multi-billion dollar Aramco oil refinery deal
Pakistan, KSA set to ink multi-billion dollar Aramco oil refinery deal
- MoU for construction of mega oil refinery will be inked in February, says information minister
- Pakistan expects $15 billion investment from Saudi Arabia in the next 3 years
Pakistan, Saudi Arabia agree to enhance cooperation in energy, mineral sectors
- In recent years, Saudi Arabia has positioned itself as a leader in the global minerals and energy sectors
- Both sides reaffirm commitment to enhance partnership and promote mutually beneficial investments
ISLAMABAD: Pakistan and Saudi Arabia have agreed to enhance cooperation in energy and mineral sectors, the Pakistani information ministry said on Friday, as the two sides seek to deepen economic ties and promote joint investment.
The development comes weeks after Pakistan’s Petroleum Minister Ali Pervaiz Malik met Saudi Arabia’s Minister of Industry and Mineral Resources Bandar Ibrahim Alkhorayef at the Future Minerals Forum (FMF) in Riyadh that saw participation from 13 public and private Pakistani firms.
Pakistan petroleum ministry said Alkhorayef had pointed out “vast opportunities” for cooperation between Pakistan and Saudi Arabia in the minerals sector, adding that the Kingdom would support the development of Pakistan’s mining industry through its knowledge and technical expertise.
On Friday, Malik held a meeting with Nawaf bin Said Al-Malki, ambassador of the Kingdom of Saudi Arabia to Pakistan, to discuss areas of mutual cooperation and further strengthen bilateral relations between the two brotherly countries, according to the information ministry.
“Both sides reviewed ongoing collaboration and explored new avenues for cooperation, particularly in the energy and minerals sectors,” it said in a statement. “They reaffirmed their commitment to enhancing economic partnership and promoting mutually beneficial investment opportunities.”
In recent years, Saudi Arabia has positioned itself as a leader in the global minerals and energy sectors and accelerated investments in green technologies, sustainable mining practices and international collaborations that are shaping the future of the mines and mineral industry.
Pakistan, on the other hand, organized a minerals summit in April 2025 that saw participation from major international companies, including the Canada-based Barrick Gold and officials from the US, Saudi Arabia, China, Türkiye, UK, Azerbaijan and other nations.
Malik expressed confidence that longstanding brotherly relations between Pakistan and Saudi Arabia would translate into tangible outcomes, fostering investment, technology exchange, and sustainable development initiatives for mutual benefit.
Ambassador Al-Malki appreciated Pakistan’s active participation in the Future Minerals Forum, which offered significant opportunities for regional collaboration, according to the statement.
“Both sides agreed to maintain close coordination to further strengthen economic and strategic cooperation in the coming period,” the information ministry added.
