Petroleum Minister Ali Pervaiz Malik has met the managements of Pakistan’s five oil refineries—Pak Arab Refinery Limited (PARCO), Pakistan Refinery Limited (PRL), National Refinery Limited (NRL), Cnergyico and Attock Refinery Limited (ARL)—to review progress on implementing the Brownfield Refinery Upgradation Policy, the financial and operational performance of the refineries, and measures to strengthen Pakistan’s energy security.
The managements of all five refineries reaffirmed their readiness to sign agreements under the Refinery Upgradation Policy, with the agreements expected to be signed early next month. The agreements are expected to unlock approximately $6 billion in investment in Pakistan’s refining sector.
During the meeting, the minister highlighted that refinery upgradation is essential for long term sustainability of the country’s refining sector. He said the planned upgrades would enable refineries to produce Euro 5 compliant fuel products in Pakistan. Producing these products domestically would help reduce reliance on imported petrol and diesel and could also help bring down their price compared to imported products, he said.
Malik stressed that timely signing of the agreements was imperative for taking forward the upgradation program. He said the government would continue to facilitate the refineries in addressing any issues related to implementation of the policy.
During a separate meeting with PARCO management, the minister learnt the company’s financial and operational performance, along with its broader plans for strengthening Pakistan’s energy security. He appreciated PARCO for managing its operations effectively during the Strait of Hormuz crisis. He said Pakistan successfully managed the crisis and ensured that the country’s petroleum supply system did not run dry. He emphasized that maintaining continuity of petroleum supplies and building resilient supply chains remained essential components of Pakistan’s energy security.
Malik was also briefed on ongoing developments concerning the proposed Oil City in Hub, envisaged as a strategic energy terminal and storage complex. The project aims to strengthen energy security, enhance trade connectivity, support supply assurance and contribute to economic growth.
In a separate meeting at PRL, the managing director, Board of Directors and management briefed the federal minister on the company’s current financial and operational performance. The management also apprised him of measures taken to maintain continuity of refinery operations during the Strait of Hormuz crisis.
In additional meetings with Cnergyico, NRL and ARL, Malik sought the views of the respective managing directors on any impediments to the implementation of the New Refinery Upgradation Policy. The managing directors informed him their respective companies had completed the required preparations and were ready to sign the agreements as a first step to implementing the policy.
The managing director of ARL highlighted the need to upgrade existing refineries to ensure their compliance with changing global dynamics and evolving fuel standards. He also appreciated the petroleum minister’s leadership, noting the pivotal role played by the Ministry in advancing major reforms in the petroleum sector.
Malik reiterated that modernizing Pakistan’s refining capacity was important not only for improving the quality and efficiency of petroleum products but also for strengthening domestic supply resilience, reducing reliance on imported petrol and diesel, and advancing the country’s broader energy security objectives. He said the government remained committed to working with the refining industry to ensure timely implementation of the New Refinery Upgradation Policy and to facilitate the investments required for the sector’s modernization.