Chinese PM arrives in Pakistan to attend SCO summit, inaugurate Gwadar airport

Pakistani PM Shahbaz Sharif (center right) receives Chinese premier Li Qiang upon his arrival in Pakistan on October 14, 2024. (Government of Pakistan)
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Updated 14 October 2024
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Chinese PM arrives in Pakistan to attend SCO summit, inaugurate Gwadar airport

  • Chinese PM to attend signing of several Pakistan-China agreements in trade and economic sectors
  • Li Qiang’s visit marks first one by a Chinese prime minister to Pakistan in 11 years, says PM Office

ISLAMABAD: Chinese Premier Li Qiang arrived in Islamabad on Monday to oversee the signing of bilateral trade and economic agreements with Pakistan, inaugurate a key international airport in the southwestern Balochistan province and attend the upcoming Shanghai Cooperation Organization (SCO) summit in the capital, the Prime Minister’s Office said. 

Qiang’s visit to Pakistan makes it the first time in 11 years that a Chinese prime minister has arrived in Pakistan on a bilateral visit. The Chinese premier is leading a high-level delegation comprising ministers and officials from the ministries of foreign affairs and commerce, the National Development and Reform Commission and the China International Development Cooperation Agency in his visit to China from Oct. 14-17.

China is a major regional ally and investor that has funneled billions of dollars into Pakistan over the years for projects part of the China-Pakistan Economic Corridor (CPEC). CPEC is a multi-billion-dollar transport, energy and infrastructure network that links Pakistan’s deep-sea ports to Chinese cities to bolster regional trade and commercial activity.

“The Chinese prime minister will hold a meeting today with Prime Minister Sharif followed by delegation-level talks at the PM House,” the PMO said in a statement. “Both the prime ministers will participate in the signing ceremony of the Memorandum of Understanding regarding China-Pakistan cooperation, which includes CPEC-2 as well as other major projects.”




Pakistani PM Shahbaz Sharif (right) receives Chinese premier Li Qiang upon his arrival in Pakistan on October 14, 2024. (Government of Pakistan)

In a televised ceremony, Sharif and key members of his cabinet could be seen welcoming the Chinese prime minister after his aircraft landed in the capital. Deputy Prime Minister Ishaq Dar, Planning Minister Ahsan Iqbal, Interior Minister Mohsin Naqvi and Information Attaullah Tarar were some of the officials who received the Chinese delegation with Sharif. 

Sharif’s office said the signing ceremony will also include the virtual inauguration of the Gwadar International Airport, located in Pakistan’s southwestern port city of Gwadar. The China-funded airport will handle domestic and international flights, Pakistan’s Civil Aviation Authority has said, and will be one of the country’s biggest airports. 

Qiang will also meet Pakistan’s President Asif Ali Zardari and the country’s senior military leadership during his visit, and attend the upcoming Shanghai Cooperation Organization (SCO) Council of Heads of Government summit from Oct. 15-16 in Islamabad. 

Qiang’s visit to Pakistan takes place in the backdrop of the Oct. 6 suicide attack near the Karachi airport. Two Chinese engineers were killed while 10 others were injured in the suicide attack claimed by the separatist militant group Baloch Liberation Army (BLA).

A decades-long insurgency in Balochistan by separatist militant groups has led to frequent attacks against the government, army and Chinese interests in the region to press demands for a share in mineral-rich regional resources. China has frequently urged Pakistan to ensure security for its citizens.

SCO SUMMIT

The recent surge in attacks in Pakistan’s southwestern and northwestern provinces has put Pakistan’s security under the microscope, especially a day before the SCO summit kicks off. 

The SCO CHG is the second-highest forum within the inter-governmental organization, which focuses on fostering cooperation among member states in socio-economic, trade, and financial sectors.

The council meets once a year to discuss multilateral cooperation between member states and priority areas within the organization, determine fundamental and topical issues in economic and other spheres, and approve the SCO budget.

The last SCO CHG meeting was held in Bishkek on Oct. 26, 2023, during which Pakistan assumed the rotating chair of the platform.

Apart from Qiang, the summit will be attended by Russian Prime Minister Mikhail Mishustin, Prime Minister of Belarus Roman Golovchenko, Prime Minister of Kazakhstan Olzhas Bektenov, Kyrgyz Prime Minister Akylbek Japarov, Prime Minister of Tajikistan Kokhir Rasulzoda, Uzbek Prime Minister Abdulla Aripov, First Iranian Vice President Mohammadreza Aref, and Indian External Affairs Minister Subrahmanyam Jaishankar.

Other participants include Prime Minister of Mongolia Oyun-Erdene Luvsannamsrai as an observer and deputy chairman of the cabinet of ministers and foreign ministers of Turkmenistan, Rashid Meredov, as a special guest.


Pakistan’s OGDC ramps up unconventional gas plans

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Pakistan’s OGDC ramps up unconventional gas plans

  • Pakistan has long been viewed as having potential in tight and shale gas but commercial output has yet to be proved
  • OGDC says has tripled tight-gas study area to 4,500 square km after new seismic, reservoir analysis indicates potential

ISLAMABAD: Pakistan’s state-run Oil & Gas Development Company is planning a major expansion of unconventional gas developments from early next year, aiming to boost production and reduce reliance on imported liquefied natural gas.

Pakistan has long been viewed as having potential in both tight and shale gas, which are trapped in rock and can only be released with specialized drilling, but commercial output has yet to be proved.

Managing Director Ahmed Lak told Reuters that OGDC had tripled its tight-gas study area to 4,500 square kilometers (1,737 square miles) after new seismic and reservoir analysis indicated larger potential. Phase two of a technical evaluation will finish by end-January, followed by full development plans.

The renewed push comes after US President Donald Trump said Pakistan held “massive” oil reserves in July, a statement analysts said lacked credible geological evidence, but which prompted Islamabad to underscore that it is pursuing its own efforts to unlock unconventional resources.

“We started with 85 wells, but the footprint has expanded massively,” Lak said, adding that OGDC’s next five-year plan would look “drastically different.”

Early results point to a “significant” resource across parts of Sindh and Balochistan, where multiple reservoirs show tight-gas characteristics, he said.

SHALE PILOT RAMPS UP

OGDC is also fast-tracking its shale program, shifting from a single test well to a five- to six-well plan in 2026–27, with expected flows of 3–4 million standard cubic feet per day (mmcfd) per well.

If successful, the development could scale to hundreds or even more than 1,000 wells, Lak said.

He said shale alone could eventually add 600 mmcfd to 1 billion standard cubic feet per day of incremental supply, though partners would be needed if the pilot proves viable.

The company is open to partners “on a reciprocal basis,” potentially exchanging acreage abroad for participation in Pakistan, he said.

A 2015 US Energy Information Administration study estimated Pakistan had 9.1 billion barrels of technically recoverable shale oil, the largest such resource outside China and the United States.

A 2022 assessment found parts of the Indus Basin geologically comparable to North American shale plays, though analysts say commercial viability still hinges on better geomechanical data, expanded fracking capacity and water availability.

OGDC plans to begin drilling a deep-water offshore well in the Indus Basin, known as the Deepal prospect, in the fourth quarter of 2026, Lak said. In October, Turkiye’s TPAO with PPL and its consortium partners, including OGDC, were awarded a block for offshore exploration.

A combination of weak gas demand, rising solar uptake and a rigid LNG import schedule has created a surplus of gas that forced OGDC to curb output and pushed Pakistan to divert cargoes from Italy’s ENI and seek revised terms with Qatar.