ISLAMABAD: Pakistan and Russia are poised to make significant progress on a series of multibillion-dollar joint ventures (JVs) spanning offshore energy exploration, mineral mining, pharmaceutical manufacturing and the long-delayed revival of Pakistan Steel Mills (PSM), as senior officials from Moscow arrive in Islamabad next week.
A Russian delegation is expected on 25 November, ahead of the Pakistan–Russia Inter-Governmental Commission meetings scheduled for 27 November in the Pakistani capital. According to Express Tribune quoting officials, the two sides will hold intensive discussions on 26–27 November to advance cooperation across several strategic sectors.
Offshore energy push
A key agenda item is Russia’s potential entry into Pakistan’s newly opened offshore hydrocarbon zones. State-owned Gazprom is in advanced talks with Pakistan’s Oil and Gas Development Company (OGDC) on forming a joint venture for offshore oil and gas exploration. Gazprom has also proposed offering OGDC stakes in its international projects.
Pakistan recently awarded 23 offshore exploration licences to domestic firms including OGDC, Pakistan Petroleum Limited (PPL) and Mari Energies. A Turkish company has also partnered with Pakistani entities in a separate offshore drilling venture. Although a previous bid by ExxonMobil during the Pakistan Tehreek-e-Insaf (PTI) government failed to yield discoveries, officials say the data collected will support new exploration phases.
Mining cooperation
Islamabad is seeking to broaden resource cooperation by inviting Russia to participate in mineral exploration projects. US firms, too, have expressed interest in Pakistan’s mineral sector, adding competitive pressure as Islamabad positions itself as a potential mining hub.
Revival of Pakistan Steel Mills
The revival of the Pakistan Steel Mills, a flagship of Pakistan-Russia cooperation since its establishment in the 1970s, will be a central focus. Closed since 2015, the mill has faced years of financial turmoil, with losses ballooning from Rs16.9 billion in 2008–09 to Rs118.7 billion within five years due to mismanagement, overstaffing and global economic downturns.
In July 2025, both countries signed a protocol in Moscow to modernise and restart the mill. The upcoming meetings will review progress under that agreement and outline next steps for restoring steel production.
Local insulin manufacturing
Pakistan is also pushing for collaboration on insulin production to reduce dependence on costly imports. Under the proposed joint venture, phased production and technology transfer are expected within three years, enabling domestic manufacturing of essential diabetes medication. Accelerating work on setting up a pharmaceutical plant will be discussed during the Commission session.
The latest round of talks is expected to deepen Pakistan-Russia economic ties, marking a renewed phase of cooperation across energy, industry and healthcare.
