Pakistan is moving ahead with plans to turn Gwadar into a major regional energy hub by inviting oil producing countries to build strategic petroleum reserves at the proposed Energy City in Gwadar.

Under the plan, foreign oil exporting nations would be allowed to store crude oil and fuel reserves at Gwadar Port, while Pakistan would retain priority access to these reserves during war, supply shortages, shipping disruptions, or other national emergencies.

Officials say the initiative is aimed at strengthening Pakistan’s energy security and reducing the risk of fuel crises caused by global market shocks or geopolitical tensions.

Kuwait has reportedly shown strong interest in developing strategic oil storage infrastructure at Gwadar as part of the wider project. The proposed Energy City will also include LNG and LPG terminals, bonded fuel storage, jetty facilities, port infrastructure, and energy logistics operations.

The latest move revives a long discussed plan to establish a large scale oil and energy hub in Gwadar. Earlier proposals for an “Oil City” failed to move forward due to commercial and geopolitical hurdles, but the government is now pushing a broader Energy City model tied to maritime trade and energy infrastructure.

Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry recently discussed the project with Nasser Abdulrahman Jasser Al Mutairi and invited Kuwait to invest in fuel storage facilities, terminals, jetties, and other port related projects at Gwadar.

Authorities believe Gwadar’s location near key international shipping lanes could help transform the port into a major energy transit and storage center for the region.

The initiative is part of the broader Pakistan Maritime Energy City project announced earlier this year to expand energy, logistics, and industrial infrastructure along Pakistan’s coastline. A high level government committee is currently evaluating locations in Balochistan for deep sea ports, strategic storage sites, and related energy facilities.