• 35 mins Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 18 hours Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 19 hours Oil Gains Spur Growth In Canada’s Oil Cities
  • 20 hours China To Take 5% Of Rosneft’s Output In New Deal
  • 20 hours UAE Oil Giant Seeks Partnership For Possible IPO
  • 21 hours Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 22 hours VW Fails To Secure Critical Commodity For EVs
  • 23 hours Enbridge Pipeline Expansion Finally Approved
  • 24 hours Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 1 day OPEC Oil Deal Compliance Falls To 86%
  • 2 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 2 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 2 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 2 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 2 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 2 days Aramco Says No Plans To Shelve IPO
  • 5 days Trump Passes Iran Nuclear Deal Back to Congress
  • 5 days Texas Shutters More Coal-Fired Plants
  • 5 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 5 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 5 days Chevron Quits Australian Deepwater Oil Exploration
  • 5 days Europe Braces For End Of Iran Nuclear Deal
  • 6 days Renewable Energy Startup Powering Native American Protest Camp
  • 6 days Husky Energy Set To Restart Pipeline
  • 6 days Russia, Morocco Sign String Of Energy And Military Deals
  • 6 days Norway Looks To Cut Some Of Its Generous Tax Breaks For EVs
  • 6 days China Set To Continue Crude Oil Buying Spree, IEA Says
  • 6 days India Needs Help To Boost Oil Production
  • 6 days Shell Buys One Of Europe’s Largest EV Charging Networks
  • 6 days Oil Throwback: BP Is Bringing Back The Amoco Brand
  • 6 days Libyan Oil Output Covers 25% Of 2017 Budget Needs
  • 6 days District Judge Rules Dakota Access Can Continue Operating
  • 7 days Surprise Oil Inventory Build Shocks Markets
  • 7 days France’s Biggest Listed Bank To Stop Funding Shale, Oil Sands Projects
  • 7 days Syria’s Kurds Aim To Control Oil-Rich Areas
  • 7 days Chinese Teapots Create $5B JV To Compete With State Firms
  • 7 days Oil M&A Deals Set To Rise
  • 7 days South Sudan Tightens Oil Industry Security
  • 8 days Over 1 Million Bpd Remain Offline In Gulf Of Mexico
  • 8 days Turkmenistan To Spend $93-Billion On Oil And Gas Sector
Daniel J. Graeber

Daniel J. Graeber

Daniel Graeber is a writer and political analyst based in Michigan. His work on matters related to the geopolitical aspects of the global energy sector,…

More Info

Damn the Sanctions and Bring on the Gas, says Pakistan

Pakistan says it can't let geopolitical concerns interfere with its quest to find ways to keep the lights on. A planning minister said last weekend that all options must be on the table to resolve ongoing energy woes and that could include actually moving on a long-discussed natural gas pipeline from Iran. A rival project from Turkmenistan has U.S. and Asian Development Bank support, though with U.S. priorities shifting, the new Pakistani government may have greater freedom in terms of its regional social circles.

The U.S. government last week tightened the screws on the Iranian energy sector on the heels of a damning report from the International Atomic Energy Agency.  U.S. sanctions are meant to starve Iran of the revenue it could use to finance its controversial nuclear program and, to some extent, the U.S. efforts are working better than ever.

Related article: Pakistan Faces Tough Choices with Energy Crisis

Nawaz Sharif is in the dawn of his third stint as prime minister of Pakistan. His third non-consecutive term marks the first time that a civilian government ended a full five-year term and handed power over to another administration by a democratic vote. Last week, he told members of Parliament the day of U.S. drone strikes over Pakistani territory are over.

"We respect the sovereignty of other countries, but others should also respect our sovereignty," he said.

U.S. President Barack Obama told the National Defense University last month that patience should drive foreign policy as it relates to developing democracies like Pakistan's. With Sharif's administration in power, and the war in Afghanistan winding down, it's time to shift U.S. focus to new and emerging threats. The core of al-Qaida is on the path to defeat, the president said, and operations like the raid that killed Osama bin Laden in 2011 can no longer be the norm. That means that no longer can U.S. policy drive the terms of a democratic Pakistan. When a U.S. drone strike left at least nine people dead in Pakistan last week, it was Sharif's government calling the shots by issuing a formal complaint against the attack.

Pakistani Federal Minister for Planning Ahsan Iqbal said the government needs to ensure natural gas supplies from wherever they come from. The top priority for Sharif's administration isn't making friends, but keeping the lights on, he said. Pakistan's national security is compounded by domestic frustration with an energy crisis that leaves most of the country without power for much of the day. With temperatures hovering in the triple digits Fahrenheit, foreign alliances may be the least of his concerns if there's no electricity soon.

Related article: Is Iraq Capable of Becoming the Largest Oil Producer in the World

The United States is turning its attention elsewhere, meaning Sharif can conduct business without too much worry of immediate U.S. repercussions. Without cash to pay the bills, Pakistan's energy production operates at about 50 percent capacity during the hot summer months. Iran, however, said it would help finance the construction of a natural gas pipeline from the South Pars field in the Persian Gulf, one of the largest in the world.

Sharif's administration said energy was at the top of its 100-day agenda. The federal planning minister said that agenda includes the Iranian pipeline, once dubbed the Peace Pipeline, U.S. foreign policy concerns be damned.

"We will continue the work at the gas pipeline because such a vital project cannot be set aside in hard times like the present," he said.

By. Daniel J. Graeber of Oilprice.com




Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News