The government is planning to upgrade Pakistan Refinery Limited (PRL) at an estimated cost of $1 billion to achieve self-sufficiency in the refining sector and bringing down the oil import bill.
“We have offered the Chinese government to participate in the PRL up-gradation project, and Chinese companies are interested in it,” official sources told APP.
At present, around 55 percent of diesel and petrol used in Pakistan is imported, while 40 to 45 percent comes from local refineries.
The sources said the government is encouraging the establishment of new oil refineries and modernizing the existing facilities to meet the country’s needs indigenously.
While answering a question, the official said the government is working on a multi-faceted strategy to achieve self-sufficiency in the crude oil refining sector.
Currently, as many as six projects, investment initiatives and proposals in the oil refining sector are in the pipeline and are at different stages to purify around 1.110 million Barrel per Day (BPD) oil.
Sharing the details, the sources said that under the government’s strategy an oil refinery and petrochemical complex with a capacity of 300,000 BPD will be set up at Gwadar, Balochistan.
- PARCO will install a 250,000 BPD Refinery at Hub, Balochistan.
- SINO Infrastructure Hong Kong Oriental Times Corporation Ltd (SIOT) will establish a 250,000 BPD Gwadar Refining & Industrial Park.
- Upcountry Deep Conversion Refinery and Crude Pipeline of 250,000-300,000 BPD will be set up in collaboration with Pakistan State Oil and Power China International Group.
- Falcon Oil Private Limited will set up a 40,000 BPD oil refining facility at Dera Ismail Khan.
- Khyber Refinery Limited will establish a facility to purify 20,000 BPD oil in Kohat.
Answering a question, they said that eight oil refineries including Pakistan Refinery Limited (PRL), National Refinery Limited (NRL), Pak¬Arab Refinery Limited (PARCO), Attock Refinery Limited (ARL), Byco Petroleum Pakistan Limited (BPPL¬I), Byco Petroleum Pakistan Limited (BPPL¬II), Enar Petroleum Refining Facility (ENAR¬I) and Enar Petroleum Refining Facility (ENAR-II) are operating in the country.