KARACHI: Pakistan has cemented its status as a net fuel oil exporter, with shipments hitting an all-time high of over 1.4 million metric tons (8.9 million barrels) in 2025 — up more than 16% from last year, according to Kpler and LSEG data.
High domestic taxes and the rapid shift of power plants to coal, LNG and solar have made local sales unviable, pushing refiners to ship surplus high-sulphur fuel oil (HSFO) and very low-sulphur fuel oil (VLSFO) to Southeast Asia and the Middle East. The flood of Pakistani cargoes has added to Asia’s already oversupplied marine fuel market, further pressuring regional cracks.
Cnergyico, the country’s largest refiner, exported ~247,000 tons in FY25 and expects at least 50% growth this fiscal year after switching to lighter crudes and tying up with Vitol for low-sulphur marine fuel supplies. Pak-Arab Refinery leads the export pack, followed by Attock, National and Pakistan Refineries.
Industry officials say the trend will only strengthen. “Furnace oil has no future in power generation and is no longer profitable domestically after the latest budget taxes,” said Syed Nazir Abbas Zaidi, secretary general of the Oil Companies Advisory Council. “Exports will keep rising through 2026 and beyond.”
From net importer in 2022 to record exporter in 2025, Pakistan’s fuel oil trade has flipped dramatically.