ISLAMABAD: Azerbaijan’s state-owned energy company SOCAR has indicated that it expects to finalise an investment decision in Pakistan’s oil and gas sector in February, signalling growing foreign interest in the country’s energy reforms.
The announcement followed a high-level business roundtable chaired by Finance Minister Muhammad Aurangzeb on the sidelines of the World Economic Forum in Davos, according to an official handout from the finance ministry.
SOCAR President Rovshan Najaf said the company views Pakistan as a long-term energy partner, citing its market size, rising energy demand and ongoing reforms aimed at improving transparency and investment conditions in the oil and gas sector.
He noted that SOCAR already maintains a commercial presence in Pakistan through SOCAR Trading, which operates under a government-to-government liquefied natural gas framework with Pakistan LNG Limited. Under the arrangement, SOCAR can supply LNG cargoes with flexible terms, providing pricing and demand-side adaptability.
Najaf added that the company is also engaged with Pakistan State Oil on petroleum product supply and is exploring opportunities to expand cooperation across the broader energy value chain as reforms progress.
Welcoming the planned investment, Finance Minister Aurangzeb said Pakistan remains focused on attracting strategic and commercially viable investment in the energy and mining sectors, which he described as critical to energy security and industrial growth.
He said ongoing reforms are aimed at strengthening pricing mechanisms, improving contractual clarity and enhancing risk-sharing frameworks to encourage sustained private-sector participation.
SOCAR operates across more than 20 countries and is among the largest state-owned energy companies from an emerging economy, positioning it as a potential long-term partner for Pakistan’s energy sector, officials said.
