Pakistan’s biggest oil refiner, Cnergyico, will import 1 million barrels of oil from the U.S. in October, making it the first time Pakistan is buying crude oil from America. The company’s Vice Chairman, Usama Qureshi, confirmed this to Reuters on Friday (August 1, 2025). The oil, called West Texas Intermediate (WTI), will be loaded in Houston, U.S., and is expected to reach Karachi in the second half of October.

Mr. Qureshi said this is just a trial shipment, done under a broader agreement with the global energy company Vitol. If it proves cost-effective and reliable, Pakistan may import one shipment every month. He also clarified that the oil is for local use only and won’t be sold to other countries.

This deal came after months of talks that began in April, when U.S. President Donald Trump threatened to impose 29% tariffs on Pakistani imports. After that, Pakistan’s finance and petroleum ministries asked refineries to look at U.S. oil as an option.

While Vitol has not commented yet, Pakistan is celebrating this new trade deal with the U.S., calling it a step toward lower tariffs and more investment. Although Pakistan is a strong ally of China, it has recently been improving its relationship with the U.S. It even nominated President Trump for the Nobel Peace Prize for helping reduce tensions with India.

Oil is Pakistan’s most imported item, costing the country $11.3 billion last year. This deal will help Pakistan reduce its dependency on oil from the Middle East. Mr. Qureshi said the quality of U.S. oil is similar to Gulf oil and doesn't need any changes at their refinery. Cnergyico can handle 156,000 barrels per day and has the only large-scale offshore terminal in Pakistan. They also plan to build a second terminal and upgrade the refinery in the next 5–6 years.

Right now, the company runs at 30–35% capacity due to low local demand, but they expect things to improve soon. President Trump also said the U.S. will help Pakistan develop its own huge oil reserves, though he didn’t give more details.