Islamabad, July 31, 2025: In a significant geopolitical and economic move, U.S. President Donald Trump has confirmed a new deal with Pakistan aimed at developing the South Asian country’s vast untapped oil reserves. This agreement marks a rare collaboration between the two nations in the energy sector and could reshape regional trade dynamics.
“We have just concluded a deal with the country of Pakistan, whereby Pakistan and the United States will work together on developing their massive oil reserves,” Trump announced in a press statement. He added, “We are in the process of choosing the oil company that will lead this partnership. Who knows, maybe they’ll be selling oil to India someday!”
The potential implications of this partnership are enormous. Pakistan, believed to hold significant undiscovered hydrocarbon reserves, could benefit from U.S. investment and technology to accelerate exploration and extraction. For the United States, it opens new doors to energy influence in South Asia and a possible new market.
This announcement comes amid a flurry of U.S. trade negotiations. Trump also mentioned ongoing talks with South Korea, referencing a 25% tariff and a possible offer from Seoul to reduce it. “South Korea is right now at a 25% tariff, but they have an offer to buy down those tariffs,” he stated. “I will be interested in hearing what that offer is.”
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While the oil deal with Pakistan is still in its early stages, insiders suggest that major American oil giants are being considered to spearhead the partnership.
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The development could pave the way for increased U.S.-Pakistan trade, greater energy security for Pakistan, and even oil exports to neighboring India in the future—a scenario Trump hinted at.
