(MENAFN) Pakistan said that its State Oil Company has finalized a gasoil supply deal for 2015 with Kuwait, which supplies 90 percent of its demand for the fuel it uses for electricity generation and transport, Gulf Business reported.
The company said that under the new agreement, it will buy about 2.5 million tons a year of high sulphur gasoil from state company KPC at a premium of between USD1.80 and USD1.90 a barrel above Middle East price quotes, on a delivered basis.
Pakistan, which gasoil demand has weakened in the past few years due to a slower economy, has been lifting gasoil from local refineries, including Karachi-based Byco Industries Inc which commissioned the country's largest refinery earlier this year.
However, the volumes supplied from Byco have been unstable due to the company being struggling with crude supply issues and financial problems.
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