Iranian Economy Minister Ali Tayyebnia and Pakistani Oil Minister Shahed Khaqan Abbasi signed an agreement to resume Iran's oil exports to Pakistan after a three-year suspension.
Iranian crude oil exports to Pakistan stopped by Karachi refinery three years ago after barriers for opening letters of credit occurred.
National Iranian Oil Refining and Distribution Company (NIORDC) and Pakistani Oil Refining Company had signed a long-term contract to sell about 12 thousand barrels of crude oil per day.
Following illegal and unilateral sanctions imposed on Iran’s oil sector since November 2011, Pakistani Oil Refining Company stopped importing Iranian oil due to several issues regarding opening letters of credit.
Underlying that Iranian crude oil is consistent with Pakistani oil, Pakistani then government officials had noted that Karachi Refinery was the only place to refine Iranian imported oil and it stopped working for technical reasons.
Iran and Pakistan have exchanged delegations on a regular basis and the two Muslim neighboring nations are keen to expedite expansion of their bilateral ties.