BEIJING: Pakistan may soon hit an oil jackpot and that will be good newsfor not only the country itself but all of South Asia as well as China andGulf nations, Chinese media has said.
There is a strong possibility that the country may discover a very big oilreserve in its waters. If this prediction comes true, the discovery willhelp the South Asian country to tackle its economic problems, *GlobalTimes* reportedon Wednesday.
US oil giant Exxon Mobil and Italy’s ENI have been involved since Januaryin drilling an ultra-deep oil well.
Pakistan may have a more urgent need for foreign investment if massive oilreserves were indeed discovered. There may be more international companieswanting to participate in related projects ranging from exploration torefining and logistics. The related investment will also help Pakistanmaintain its growth momentum.
China has sound cooperation in energy with Pakistan.
A big oil find would stimulate investment enthusiasm among Chinesecompanies. China is willing to support Pakistan’s efforts to seize thedevelopment opportunity such a find might bring, and handle any challenges.
The China-Pakistan Economic Corridor (CPEC) was originally conceived as astrategic project with oil and gas pipeline links between Northwest China’sXinjiang Uyghur Autonomous Region and Gwadar port.
Read Top Stories
If Pakistan discovers massive oil reserves, that will be a motivation toextend Pakistan’s pipeline network further into neighbouring countries, andalso to enhance energy cooperation with Gulf nations such as Saudi Arabia.
Not only China but also the whole region will benefit from economicintegration through energy connectivity.
Using those reserves will likely result in large cross-border capitalflows, infrastructure investment, energy trades, and people-to-peopleexchanges. The region will see the development and utilisation of oilreserves as a pillar of economic integration and stability.
The geopolitical picture in Asia has long been complex and uneven, butPakistan’s potential oil reserves are likely a game-changer for the region,with economic cooperation in energy.
