Petrol rates expected to fall amid decrease in international market

Anticipated adjustments in the petroleum product rates are foreseen during the upcoming bi-weekly review on Friday, spurred by a downturn in global oil prices.

The pricing of crude oil in the international market experienced a drop, shifting from $79 per barrel to $73 per barrel in the past few weeks.

A projected reduction of Rs10 is expected in the petrol prices, Sources
However, the ultimate decision rests with the interim government, in consultation with the prime minister, contrasting with previous practices where the Oil & Gas Regulatory Authority submitted a summary for petrol price revisions.

In the preceding month, the interim government maintained the petrol price at Rs281.34, while the diesel price saw a decrease of Rs7 per litre, settling at Rs289.71.

During the last fortnight, both HSD and petrol witnessed a combined decrease of approximately 5% in international prices.

Nevertheless, on Thursday, oil prices experienced a 3% increase, building on gains from the previous session. This surge was attributed to a weakened dollar and an optimistic oil demand forecast for the coming year by the International Energy Agency.

Brent futures concluded $2.35 higher, marking a 3.2% increase at $76.61 per barrel. Similarly, US West Texas Intermediate (WTI) crude saw an ascent of $2.11, reflecting a 3% rise, reaching $71.58.

It is worth noting that on December 12, Saudi Aramco entered into an agreement to acquire a 40% equity stake in Gas & Oil Pakistan Ltd.