Business
Two new gas wells to be drilled in northern Afghanistan this year
The Ministry of Mines and Petroleum spokesman said on Tuesday that two new gas wells will be drilled in northern Jawzjan province this year and gas processing units will be installed alongside the wells in order to purify the gas on site.
The ministry’s spokesman Hamayoun Afghan said a gas pipeline of over 90 kms long, between Jawzjan and Balkh, will be completed and put into operation this year. “This year, we will try to complete the gas pipeline between Jawzjan and Balkh, and we will continue to dig new wells in the Yatem Taq area, and we will try to increase our production in order to increase our revenue,” he said.
He said currently 600 thousand cubic meters of gas is extracted and processed in Jawzjan province daily, but plans are in place to increase this to two million cubic meters per day.
“We are trying to buy new equipment to have a processing capacity of 2.5 million cubic meters of gas per day, and we are fully prepared to launch this project,” Afghan said.
The ministry did not however give any indication of whether agreements had been signed with private investors to extract the gas.
Khan Jan Alkozai, a member of the Afghanistan Chamber of Commerce and Investment (ACCI) said the country will benefit enormously if more investment is made in this sector.
“I think that there is a high capacity in the area of energy production from gas, and in the area of attracting investment in this area, the facilities should be provided,” said Alkozai.
Currently, there are gas fields in nine areas of Jawzjan province, including in Yatem Taq, Jarqaduk, Jangal Kalan, Khowaja Bolan and other areas.
Energy production is a priority for the Islamic Emirate as the government relies on neighboring countries to supply it with over 50% of its current electricity needs.
In addition to coal-fired energy production plants, the IEA is also encouraging investment in gas to electricity plants. This process in the country is not new, as one trailblazer has been successfully supplying electricity to hundreds of thousands of people for the past few years.
The company is Bayat Power, Afghanistan’s largest, Afghan-owned and operated power production company and it has the region’s most technologically advanced gas fired electric power plant.
Launched in 2019, this commercial operation provides reliable and affordable electric power to hundreds of thousands of people in the country.
Located in Sheberghan, in gas-rich Jawzjan province, Bayat Power has steadfastly aimed to provide essential power for Afghanistan’s economic growth.
Powered by a Siemens SGT-A45 ‘Fast Power’ turbine, the world’s most advanced mobile gas to energy power solution, phase one of Bayat Power-1’s operations generates up to 44 megawatts of power for Afghan homes and businesses.
To date, Bayat Power has delivered over 700 million kilowatts of domestic power to the Afghan grid.
However, Bayat Power hopes to eventually roll out three phases in total that will generate more than 200 megawatts of electricity – enough to serve millions of Afghan residential and commercial clients.
Business
Pakistan’s kinno exports falter as tensions with Afghanistan continue
Pakistan’s kinno exports remain far below potential as regional tensions, high freight costs and weak government support continue to choke the citrus trade.
Despite being a leading global citrus producer, Pakistan is expected to export just 400,000–450,000 tonnes of kinno in the 2025–26 season, compared with an estimated capacity of 700,000–800,000 tonnes.
Exports in 2024–25 stood at around 350,000–400,000 tonnes, mainly to Russia, the UAE, Saudi Arabia, Afghanistan, Indonesia and Central Asia. While better fruit quality this season has raised hopes, persistent crossing disruptions—especially with Afghanistan—and transport bottlenecks have offset gains.
Growers say prices have collapsed sharply, forcing panic sales. Rates for large kinno have fallen from over Rs120 per kg early in the season to as low as Rs75, while smaller fruit is selling for Rs35–40 per kg amid weak demand.
Industry leaders warn the crisis is crippling processing units and jobs. More than 100 factories reportedly failed to open this season, with dozens more shutting down as exports stall. Cold storages in Sargodha are nearly full, putting fruit worth millions of dollars at risk of spoilage, while growers fear losses of up to Rs10 billion.
Exporters are urging the government to urgently resolve issues, subsidise logistics, and help access alternative markets, warning that prolonged inaction could devastate farmers, workers and the wider economy.
Business
Pezeshkian pledges to facilitate Iran-Afghanistan trade
Iranian President Masoud Pezeshkian has said that Tehran will facilitate trade and economic exchanges with Afghanistan, including easing procedures at customs and local marketplaces.
He made the remarks during a televised interview following his visit to South Khorasan province, which shares a border with Afghanistan.
Pezeshkian, in a separate event addressing local business leaders, highlighted the province’s strategic advantages, citing its rich mineral resources, proximity to neighboring countries such as Afghanistan and Pakistan, and access to the ocean via the Chabahar port. He described the region as “a golden opportunity not found everywhere,” emphasizing its potential for economic growth and cross-border commerce.
Business
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