INTELLIGENCE MEMORANDUM THE PETROLEUM SITUATION IN PAKISTAN

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP85T00875R001700020082-8
Release Decision: 
RIPPUB
Original Classification: 
S
Document Page Count: 
9
Document Creation Date: 
December 22, 2016
Document Release Date: 
March 2, 2010
Sequence Number: 
82
Case Number: 
Publication Date: 
December 1, 1971
Content Type: 
IM
File: 
AttachmentSize
PDF icon CIA-RDP85T00875R001700020082-8.pdf259.94 KB
Body: 
Sanitized Copy Approved for Release 2010/03/05 : r'j CIA-RDP85T00875R0017000 Sanitized Copy Approved for Release 2010/03/05 CIA-RDP85T00875R0017000 Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 Secret DIRECTORATE OR INTELLIGENCE Intelligence. Memorandum The Pety?leum Situation in Pakistan Secret ER IM 71-229 December 1971 Copy No. Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 WARNING 'Plus dociunent contains inEormakion ai[ectu~g the national defense of the United States, within the meaning of Title 18, sections 793 and 794, of the US Code, as amended. Its transmission or rCVelatlOIl of its contents to or re- ceipt by an tuiauthorired person is prohibited by law. Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 SECRET CENTRAL INTELLIGENCE AGENCY Directorate of Intelligence December 1971 INTELLIGENCE MEMORANDUM 'THE PETROLEUM SITUATION IN PAKISTAN Total Oil Supply and Demand 1. Pakistan depends on imports for about 90% of its oil supply, about 110,000 barrels per day (b/d), see Table 1. Domestic crude oil, produced only in northern West Pakistan, provides slightly less than lOl~ of total supply. Imports, mostly in the form of crude oil (78^/~ of total supply) and refined products (13?l0 of total supply), come almost exclusively from Iran. 2. Domestic consumption of petroleum products under normal conditions is on the order of 90,000 b/d' about 70% is consumed in the West and 30% in the East. Almost 20,000 b/d, or about 18%, of total supply, are exported -some 7,000 b/d as bunkers for aircraft and ships. 3. We do nut know the military demand for petroleum products in either East or West Pakistan. Assuming, however, that all of the normal demand for aircraft fuels and 50"10 of the demand for motor gasoline and diesel fuel are allocated exclusively to military activities, then consumption by military forces in the West would approach 20,3;10 b/d ur 30% of the total normal consumption, and in the East, about 4,000 b/d or 15'/~ of total normal consumption. The Situation in East Pakistan 4. Oil is imported into East Pakistan through the port of Chittagong, the location of the only refinery and of almost 90'% of the storage capacity in the East, see Tables 2 and 3. Tankers delivering petroleum to Chittagong since April 1971 have been repeatedly harassed, and the refinery reportedly operated only intermittently during 1971 because of crude oil shortages and fear of sabotage. Moreover, imports of petroleum to build up stocks were restricted because of scarce foreign exchange, and inventories probably Note: This ,emorandum was prepared by the Office of Economic Research and coord~nnted within the Directorate of Intelligence. SECRET Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 SECRET were held at or near minimum essential needs. A reasoned guess suggests that total oil stock levels in East Pakistan at the opening of full-scale hostilities did not exceed 30 days of supply at normal rates of consumption.* The extent of damage to storage facilities and the destruction of oil stocks from recent air attacks on Chittagong and Dacca is not known. West Pakistan 5. Oti is imported into West Pakistan through the port of Karachi. The two principal refineries in the Wes (representing about 85`I~ of refining capacity in the West) are located in the vicinity of the port, and imported crude oil is delivered directly from the tani:ers to the refineries. About 75`% of the bulk oil storage capacity in West Pakistan is conce~ltrated in the four import terminals and in the two refineries located in the Karachi port area. The only domestir. oil production in Pakistan originates near tl~e refinery at Rawalpindi and is transported by local pipeline. This refinery, which accounts for about 15`% of the oil supply in the West, reportedly suffered minor damage by air strikes on 6 December but continued to operate normally. 6. Crude oil stored at the refineries in the Karachi area, it' filled to 75% of capacity, probably would be sufficient t'or 10 day. of operation. Stocks of refined products, using the same assumpticn, probably would not exceed 60 days of supply. Thus, maximum total stocks of oil on hand in West Pakistan would not exceed about "10 days of supply at normal rates of consumption. Actually, the stocks probably arc substantially 1CS5 than that amount and may be as low as s0 days' supply. Initial reports of the air attack on oil facilities in the Karachi area on 5-G December suggest that damage was confined to a small independent oil company facility. Prospects 7. The virtual interdiction of Chittagong makes it most unlikely that East Pakistan can be supplied with oil, and Pakistani forces in the East will have +o depend on the products currently in storage throughout the region. These stocks probably would not last more than a month. 8. West Pakistan also faces a critical petroleum situation with stocks that also may not be sufficient for more than a month of normal consumption. By strict rationing, these stocks probably could be stretcl~sd to perhaps two months' supply. Pa)istani military forces do have some petroleum supplies at bases and airports around the country, but the * This and other similar estimates of stock levels elsewhere in this memorandum do not include stocks, presumably small, contained in 55-gallon drums in the country. .SECRET Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 SECRET amounts are not known and in any event are not likely to be large. Although ample oil supplies would be available to West Pakistan from Iran, it would be difficult to import them through Karachi because of the likelihood of blockade by the Indian Navy. Pakistan, with no tankers of its ow~t, might charter foreign tankers, place them under the Pakistani flag, and attempt to run this blockade. If the import terminals in Karachi were bombed out, tankers would have to unload into barges or tank cars, a slow and cumbersome, process. Some fuel could be imported by road from Iran, but not enough to meet even minimum requirements. SECRET Sanitized Copy Approved for Release 2010/03/05 :CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05: CIA-RDP85T00875R001700020082-8 SECRET Pakistan; Estimated Oil Supply and Demand 1971 Thousand Barrels Per Da d .Total West East Supp Zz~ 109. S 81.5 28. 0 Domes tic crude oil production 10 0 10.0 0 Imports 99.5 '1 1.5 28.0 Crude oiJ- 85.5 _ 66.1 19.4 Products 14.0 5.4 8.6 Demand 109.5 81.5 28.0 Domestic 90_0 62.8 27.2 Aviation gasoline 0.6 0.6 0 Jet fuel 6.0 4.7 1.3 Motor gasoline 7.5 6.0 1.5 Kerosene 17.8 8.7 9.1 Diesel fuel oil 25.3 21.9 3.4 Fuel oil 24.4 16.1 g~3 Lubricants 1.6 1.3 0.3 Other, losses, and stock changes 6.8 3.5 3.3 Exports 19_5 18.7 0.8 Bunkers 7.3 6.; 0.8 Other 12.2 12.2 0 SECRET- Sanitized Copy Approved for Release 2010/03/05: CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05: CIA-RDP85T00875R001700020082-8 Pakistan: Estimated Oil Stozaqe Capacity at Principal Facilities Location Crude Oil Products Total Crude Oil Produ ts T t l c o a Crude Oil Products Total Total 950 5,550 6,500 480 1,610 2,080 1,430 :,IEO 8,590 Import terminals 0 3,200 a/ 3,200 a/ 0 1,020 b/ 1,020 b/ 0 4,220 4,220 Burmah-Shell C 900 9J0 0 620 620 0 1 520 1 520 Ca'tex 0 500 500 0 -- 0 , 500 , 500 Esso ' 0 1,300 1,300 0 400 400 0 1 700 1 700 Pakistan Nat l Oil Co. 0 500 500- 0 -- -- 0 , 500 , 500 ~ ~ 1 Refineries 950 1,460 2,410 480 330 810 1 430 1 790 3 2 ~ , , , 20 ^ l J ~ 1 Rawalpindi Attock Oil Co. 250 550 800 -- -- -- 250 550 800 ~ ~ H Karachi National Refinery 290 600 890 -- -- -- 290 6 ['1y Pakistan Refinery 00 890 a. Located ~n Karaclez, b. Located in C:eittagor.~, (Karangi) 410 310 '20 -- -- -- 410 310 720 Chitta;ong Eastern Refinery -- -- -- 460 330 B10 480 330 B10 Airfields 0 140 140 0 10 10 0 150 150 Other 0 750 750 0 250 250 0 1 000 1 000 , , Sanitized Copy Approved for Release 2010/03/05: CIA-RDP85T00875R001700020082-8 Sanitized Copy Approved for Release 2010/03/05: CIA-RDP85T00875R001700020082-8 Pakistan: Oil Refineries, Locations, and Capacities December 1971 Name Location Capacity Total 115,140 West 85,'140 Attock Oil Co. a/ Rawalpindi 11,6x0 National Refinery Karachi 13,500 Pakistan Refine y Karangi (Karachi) 60,000 East 30,000 Eastern Refinery Chittagong 30,000 Capacities in Barrels Per Day Ownership; Burmah Oil Co., 27$; re- mainder privately owned. Operates exclusively on do:n~~stic ;.rude oil. Owned by government and private Pakistani interests. Operates on imported crude cil. Ownership: Burmah Oil Co., 15~; Shell Oil Co., 15$; Es~o, 18$; Cal- tex, 12$; government and private Pakistani interests, 40~. Operates on imported crude oil. Ownership: Burmah Oil Co., 30$; re- mainder government and private Pakistani interests. The only re- finery in East Pakistan; operates on imported crude eil. a. Reportedlr~ damaged in air strike on 6 December 1971. Sanitized Copy Approved for Release 2010/03/05: CIA-RDP85T00875R001700020082-8