According to well-informed sources, Pakistan State Oil (PSO) is in talks with Bank of China/Sinopec about establishing either an oil refinery or a petrochemical refinery with an investment of more than $10 billion.
PSO Interacting With Bank of China To Establish Oil Refinery
According to the sources, Secretary Petroleum recently updated the SIFC Executive Committee on conversations with the Saudi side and PSO’s with Bank of China/ Sinopec, adding that additional progress is expected during caretaker Prime Minister Anwar-ul-Haq Kakar’s upcoming visit to China.
The SIFC has also directed the Secretary of Petroleum, the Secretary of Finance, the Secretary of Law and Justice, the Chairman of the FBR, and the Chairman of the OGRA that the Host Government Agreement (HGA) on TAPI be finalized as per timelines and that consensus be developed among Finance, Petroleum, Law and Justice, the FBR, and the Chairman of the OGRA, among others, on pending matters.
Secretary Foreign Affairs, Secretary Petroleum, and Secretary Planning have been asked to meet in Working Group to review the Pakstream gas pipeline project and provide an update to the SIFC Executive Committee.
OGRA Will Lead as the Regulator in Developing a Plan
In partnership with the Petroleum Division, OGRA will lead as the regulator in developing a plan for the provision of virtual LNG, including the finalization of codal procedures for the issuing of NOC.
The Minister for Maritime Affairs (MoMA), Secretary of Petroleum, and Chairman of OGRA have been directed to develop an Action Plan to fully utilize and optimize existing LNG terminals to import the maximum amount of LNG possible, preferably in business-to-business (B2B) mode, with no obligation on the part of the government.
The project should allow for extra LNG cargoes before the start of winter in 2023.
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