Attock Oil Refinery, National Oil Refinery, and Pakistan Oil Refinery will soon ink their upgrade agreements with the Oil and Gas Regulatory Authority (OGRA) under the Brownfield Refinery Policy, state media reported on Wednesday.
The Brownfield Refinery Policy incentivizes existing refineries to modernize, upgrade, and expand their operations. OGRA is scheduled to convene a meeting with the refineries to discuss the progress of finalizing the agreements soon.
Under the new policy, refineries would essentially become more efficient and double their refining capacity.
These agreements will pave the way for transformative upgrade and expansion projects in the near future. The project will also enable these refineries to produce EURO V standard fuel, which will save them billions of rupees annually in penalties for non-compliance with environmental regulations.
The policy represents an investment strategy aiming at ensuring long-term sustainability, with plans to increase Motor Spirit and High-Speed Diesel production, and the eventual elimination of Furnace Oil.
Implementation of the Brownfield Refinery Policy is expected to boost local production of petrol and diesel meeting Euro-V standards. This move will alleviate the pressure on imports and improve foreign reserves.
