Petrol may reach Rs1,000/litre amid fuel shortage, warns minister

LAHORE: Petroleum Minister Ali Pervaiz Malik warned on Sunday that petrol prices could climb to as high as Rs1,000 per litre if a fuel shortage emerges in the country, as global oil markets remain volatile amid renewed conflict in the Middle East.

Speaking to journalists in Lahore, Malik said petroleum prices in Pakistan had already increased by around 50%, while fuel prices had also risen sharply in Europe and the United States.

The minister condemned Houthi attacks and said the government was taking measures to provide relief to vulnerable segments of society and mitigate the impact of rising fuel prices.

On domestic energy production, Malik said work had commenced on oil wells and expressed hope that Pakistan would discover new crude oil reserves by October. Such discoveries, he said, could help reduce the country's dependence on costly oil imports.

The warning came amid a sharp rise in fuel prices and heightened volatility in international oil markets, driven by renewed hostilities in the Middle East and disruptions surrounding the Strait of Hormuz.

The latest escalation followed the collapse of a fragile ceasefire reached in June between Tehran and Washington, while Houthi attacks targeting Saudi Arabia's civilian and economic infrastructure further intensified concerns over potential disruptions to global energy supplies.

Following the latest price revision, petrol is being sold at Rs389.14 per litre, while high-speed diesel costs Rs424.04 per litre.