Petroleum Minister calls for stable policies to boost energy investment

Islamabad: Federal Petroleum Minister Ali Pervaiz Malik has called for consistent and predictable energy policies to attract major investment in Pakistan’s high-risk upstream oil and gas exploration, particularly offshore projects.

Addressing the Pakistan Energy Conference 2026, the minister said Pakistan was reviving offshore exploration after two decades, with friendly countries and major local companies including Mari Petroleum, Pakistan Petroleum Limited (PPL) and Oil and Gas Development Company Limited (OGDCL) participating in the effort.

He said investors committing more than $100 million to a single exploration well needed policy consistency and medium-term visibility, while successful explorers should be allowed to retain and reinvest profits in infrastructure.

Malik stressed that petroleum must form an integral part of Pakistan’s medium-term energy policy and called for closer coordination among the petroleum, power and water divisions.

He said the Cabinet Committee on Energy (CCoE), chaired by Prime Minister Shehbaz Sharif, had been reactivated and should meet every two months to review developments across the energy value chain.

The minister also urged reforms to ensure the Petroleum Division remained financially sustainable, saying excessive taxation and financial interventions could undermine investment in the sector.

On the downstream sector, he said the government was working with refineries to address their ageing infrastructure and facilitate upgrades to deep-conversion facilities under the new refinery policy.

Malik also said the government, with World Bank support, was examining reforms to unbundle gas infrastructure and energy businesses, increase competition, improve upstream liquidity and enhance efficiency. A related report is expected by the end of August.

He said deregulation and greater private-sector participation would remain central to the government’s energy reforms, regardless of criticism.
Meanwhile, Pakistan Petroleum Limited showcased its exploration and production portfolio at PEC 2026, where the company was a Gold Sponsor.

Malik, the chief guest, visited the PPL corporate booth and appreciated its work in oil, gas and mineral exploration.

PPL senior management briefed participants on the company’s operational achievements, exploration activities and growth initiatives.
Organised by the Petroleum Institute of Pakistan, PEC 2026 brought together energy-sector leaders, regulators and stakeholders under the theme “Shaping Energy Security through Policy Reform and Technological Innovation.”