ISLAMABAD: Pakistan’s five major oil refineries have reaffirmed their commitment to signing agreements under the Brownfield Refinery Upgradation Policy early next month, a development expected to unlock around $6 billion in investment in the country’s refining sector.
Federal Minister for Petroleum Ali Pervaiz Malik held separate meetings with the managements of Pak-Arab Refinery Company Limited (PARCO), Pakistan Refinery Limited (PRL), National Refinery Limited (NRL), Cnergyico and Attock Refinery Limited (ARL) to review progress on the policy, refinery performance and measures to strengthen Pakistan’s energy security.
The managements of all five refineries confirmed that they had completed the necessary preparations and were ready to sign the agreements, which would mark a major step towards implementation of the upgradation programme.
The Petroleum Minister said modernising the country’s refining capacity was essential for the long-term sustainability and competitiveness of the sector. He noted that the planned upgrades would enable domestic refineries to produce Euro-5 compliant fuels, helping reduce Pakistan’s dependence on imported petrol and diesel while potentially lowering fuel costs.
Ali Pervaiz Malik stressed the importance of timely execution of the agreements and assured the refining industry that the government would continue to facilitate the resolution of implementation-related issues.
During a meeting with PARCO management, the Minister reviewed the company’s financial and operational performance as well as its plans to strengthen Pakistan’s energy security. He appreciated PARCO’s effective management of operations during the Strait of Hormuz crisis, noting that Pakistan successfully maintained continuity of petroleum supplies during the challenging period.
The Minister emphasised that uninterrupted petroleum supplies and resilient supply chains were critical components of national energy security.
The meeting also covered developments related to the proposed Oil City in Hub, envisioned as a strategic energy terminal and storage complex. The project is aimed at strengthening energy security, improving trade connectivity, enhancing supply assurance and supporting economic growth.
At PRL, the Managing Director, Board of Directors and senior management briefed the Minister on the refinery’s financial and operational performance and measures taken to maintain uninterrupted operations during the Strait of Hormuz crisis.
In separate meetings with Cnergyico, NRL and ARL, the Minister sought updates on any remaining impediments to implementation of the refinery upgradation policy. The respective managements confirmed their readiness to proceed with the agreements.
ARL management highlighted the importance of upgrading existing refineries to meet evolving global market dynamics and increasingly stringent fuel standards, while appreciating the Petroleum Ministry’s role in advancing reforms in the sector.
The Petroleum Minister reiterated that refinery modernisation would improve the quality and efficiency of petroleum products, strengthen domestic supply resilience and reduce reliance on imported fuels.
He said the government remained committed to working closely with the refining industry to ensure timely implementation of the upgradation policy and facilitate the investment required to modernise Pakistan’s refining infrastructure and strengthen long-term energy security.
Story by Wasim Iqbal
