KARACHI: The Oil and Gas Regulatory Authority (Ogra) has authorised four local refineries to export a combined 195,000 tonnes of furnace oil (FO), including high-sulphur furnace oil (HSFO), during October 2026.
According to separate permissions issued by Ogra, Pak Arab Refinery Limited (Parco) has been allowed to export 60,000 tonnes of furnace oil during the month, with a tolerance of plus or minus 10 per cent.
National Refinery Limited (NRL) has received permission to export 40,000 tonnes, also with a plus or minus 10pc tolerance. The approval specifically covers high-sulphur furnace oil (HSFO).
Meanwhile, Pakistan Refinery Limited (PRL) has been authorised to export 50,000 tonnes, while Cnergyico PK Limited (CPL) has received approval for 45,000 tonnes during October.
The permissions are subject to local upliftment in accordance with the respective refinery plans, Ogra said.
Strategic Reserve to Be Maintained
The regulator said the National Coordination and Monitoring Committee (NCMC) had granted in-principle approval for the furnace oil exports, subject to maintaining a strategic reserve sufficient to meet the requirements of the power sector.
Ogra also directed the refineries to maximise loading flow rates to ensure that export cargoes sail within their assigned discharge windows.
The combined allocation of 195,000 tonnes represents the four refineries’ base export quantities for October, excluding the applicable 10pc tolerance.
Furnace Oil Exports Continue
Oil sector data shows that Pakistan exported 153,000 tonnes of HSFO, 8,354 tonnes of medium-sulphur furnace oil (MSFO) and 26,411 tonnes of low-sulphur furnace oil (LSFO) during the first two months of the current fiscal year.
The latest export approvals come as Pakistan’s refining sector undergoes a major transformation aimed at reducing furnace oil production and increasing the output of higher-value petroleum products.
Four of the country’s five refineries have recently signed upgrade agreements involving billions of dollars in investment. The projects are expected to increase production of high-speed diesel and petrol while substantially reducing furnace oil output.
Following completion of the planned upgrades, daily furnace oil production is projected to decline from approximately 15,417-15,500 tonnes to around 3,400-5,714 tonnes, significantly reducing the country’s future surplus furnace oil volumes.
Story by Tanveer Malik
