Gwadar has belonged to the Kingdom of Oman since 1792. At that time, Karatehan in western Pakistan donated about 800 square kilometers of land around Gwadar to the Prince of Oman who came to take refuge. 1958, Pakistan purchased Gwadar area from Oman for 3 million pounds.
Gwadar Port is located in the south of Gwadar City in the southwest of Balochistan Province, Pakistan. It is a good deep-water port. At the request of President Musharraf, China provided financial and technical assistance for port construction. Port construction started in March 2002, and Gwadar Port was basically completed in February 2005. It is expected to be fully operational in mid-April. Some oil transportation distances in China will be shortened by 85%.