ISLAMABAD: The prices of petroleum products are likely to increase by up to Rs4.79 per litre from September 1, sources told HUM News English.
Oil prices rose by nearly 2 per cent in the international market after Ukraine carried out an attack on Russia’s northwestern port of Primorsk, forcing the suspension of loadings at its key western oil terminal
According to sources, petrol price in Pakistan may go up by Rs1.54 per litre, high-speed diesel by Rs4.79, kerosene oil by Rs3.06, and light diesel oil by Rs3.68 per litre.
The sources said that the Oil and Gas Regulatory Authority (Ogra) will submit its final working to the Petroleum Division on September 15.
The Petroleum Division and the Ministry of Finance will then forward the summary to Prime Minister Shehbaz Sharif for approval, based on levy and other applicable taxes.
PM forms committee to monitor petroleum pricing, supply dynamics
On September 1, the Finance Division kept the petrol price unchanged, but reduced HSD by Rs3 per litre for the next fortnight.
An early notification from the Finance Division fixed HSD price at Rs269.99, petrol at Rs264.61, kerosene oil and light diesel oil at Rs1.46 per litre and Rs2.40 respectively.
According to Reuters, Ukrainian drone attack on Primorsk has for the first time forced the suspension of loadings at its key western oil terminal.
Primorsk has a capacity to load about 1 million barrels per day (bpd) of crude, making it a key export hub for Russian oil and the largest port in western Russia. The port loads a flagship Russian Urals oil grade as well as about 300,000 bpd of diesel.
The drone strike, the first reported such attack on the port, set fire to two vessels, the industry sources said.
Kyiv has intensified its drone attacks on Russian energy infrastructure as it pushes for talks to end the war in Ukraine, trying to cut Russia off from its main source of revenue – crude oil sales – by limiting export capabilities.
Ukraine’s SBU security agency said it had hit the Primorsk port with drones overnight, leading to a fire and the suspension of loading operations.
Oil loadings from Primorsk were suspended early on Friday, two industry sources familiar with oil loadings from the port said. It was not clear if the operations had resumed at the time of writing.
The Russian governor of the region around the port, Alexander Drozdenko, confirmed that a drone attack had set fire to one vessel and a pumping station but did not report any suspension of operations.
Drozdenko later said the fire had been extinguished and that there was no risk of an oil spill. More than 30 drones were destroyed over the region, he said.
The Transneft pipeline operator operating the port and Russia’s Energy Ministry declined to comment.
WHICH TANKERS WERE HIT?
Two oil tankers, Kusto and Cai Yun, were hit by the attack, according to the industry sources. Kusto is an Aframax tanker,with capacity to carry about 700,000 barrels, and is owned and managed by Solstice Corp, according to LSEG. Cai Yun is an Aframax owned and managed by Acceronix Ltd. Both are registered in the Seychelles, public databases show.
Other Russian ports, including nearby Ust-Luga and the Black Sea’s Novorossiisk, have been repeatedly targeted by Ukraine in recent months.
Russian oil exports are already limited as Ust-Luga port has yet to restore its capacity in full after a drone attack in August. The port is loading at half capacity this month.
Earlier, US President Donald Trump said that he was ready to sanction Moscow, but on the condition that all NATO allies agree to completely halt purchases of Russian oil and implement their own sanctions.
He also suggested members of the transatlantic alliance consider slapping tariffs of 50 per cent to 100 per cent on China as a way to help end Russia’s war in Ukraine.