• Pakistan’s petroleum sales declined in Aug’26, with volumes clocking in at 1.26mn tons, down 3% YoY.
• On a MoM basis, OMC volumes decreased by 16%. Excluding FO, OMC volumes also declined by 9.3% YoY and 19% MoM.
• The decline in sales was primarily driven by higher fuel prices (MS +PKR 70.06/ltr and HSD +PKR 99.73/ltr YoY) and (MS +PKR 10.01/ltr and HSD +PKR 11.61/ltr MoM).
• MS offtake declined by 9% MoM in Aug’26 to 0.67mn tons. HSD sales fell 32% MoM to 0.42mn tons, due to the aforementioned reasons. FO sales recorded a 26% MoM increase, largely attributable to higher power demand and increased reliance on FO-based power generation amid RLNG disruptions.
• HSD volumes declined 19% YoY in Aug’26, while MS volumes decreased by 1% YoY. Conversely, FO sales improved by 429% YoY, driven by the aforementioned reasons.
• Cumulatively, in 2MFY27, total petroleum product sales increased by 10% YoY to 2.77mn tons, compared to 2.52mn tons in SPLY.
• Product-wise, MS and HSD volumes clocked in at 1.39mn tons and 1.05mn tons, respectively, while FO sales increased to 0.18mn tons.
• The government has budgeted PKR 1.68tn in Petroleum Levy (PDL) collections for FY27, up 11.9% from the revised FY26 target of PKR 1.50tn (and 14.2% above the original FY26 budget of PKR 1.47tn). Based on our estimates, the government collected approximately PKR 245bn in PDL during 2MFY27.

Courtesy – AHL Research