Chicago – April 12, 2026
Pakistan and Saudi Arabia are moving to advance the long-delayed Gwadar oil refinery project, which was first initiated during former Prime Minister’s tenure as part of his effort to attract Saudi investment and turn Gwadar into an energy hub.
Recent reports say Saudi Finance Minister Mohammed Al-Jadaan’s visit to Islamabad has renewed momentum for the proposed multi-billion-dollar project.
The refinery plan, linked to Saudi Aramco and Pakistani state firms, was publicly discussed in 2018 and later developed through feasibility work and a 2023 MoU. If completed, it could process 300,000 to 400,000 barrels per day, reduce Pakistan’s oil import bill, ease pressure on foreign exchange reserves, and support the rupee. Gwadar’s importance would also increase as it strengthens its role as a regional energy and trade hub.
Several reports note that the former PM personally pushed Saudi-Pakistan economic cooperation and hosted the Saudi leadership during the early phase of the project. The current government is now working to carry that initiative forward, with the project seen as one of the most significant energy investments linked to Pakistan’s long-term economic strategy.
