Feb 12 -
Gas sale accord signed
SW-Miano Joint Venture, led by Austrian oil and gas
company OMV (Pakistan), as seller signed a gas sales agreement with
Sui Southern Gas Company Limited (SSGCL) as buyer for sale of upto 170
MMscfd of pipeline specification gas from Sawan gas field in Sindh.
The agreement, called Gas Sales Agreement for Sawan
Gas Field, was initialled by, Reinhart Samhaber, General Manager OMV
(Pakistan), Afzaal Akhtar, Resident Manager of AGIP Exploration and
Production Limited, Pavel Marek, Exploration Manater Moravske Naftove
Doly, S. Munsif Raza, MD of Pakistan Petroleum Limited and Mukhtar
Ahmed, MD of SSGCL on Saturday, said an OMV's press release issued on
This agreement follows the signature by the above
parties and the Government of Pakistan of a Heads of Agreement for
Sawan Gas Field on October 9, 2000.
The Gas Sales Agreement and a recently submitted
Gas Pricing Agreement, both for Sawan, are now awaiting approval by
the Government of Pakistan, the press release said.
SW-Miano JV will invest approximately $ 160 million
during the next two years to bring on stream 170 MMscfd sales gas for
delivery to SSGC by late 2002/ early 2003.
Investment and sales revenues will be shared in the
SW-Miano JV as follows: 19.7% OMV (Pakistan), 23.7% AGIP, 7.9%
Moravske Naftove Doly, 26.2% Pakistan Petroleum Limited and 22.5%
Government Holdings. The SW-Miano JV plans to increase gas deliveries
from Sawan by approximately 100 MMscfd or more as soon as gas demand
and gas transmission capacity become available.
OMV (Pakistan) expects to complete all engineering
work for the 170 MMscfd gas processing facilities and all commercial
arrangements by June this year.
Planned first gas deliveries to SSGCL via their
existing Kadanwari transmission line are anticipated late in 2002 /
early in 2003.
Complaints against SAP being removed
The government has assured the World Bank that it
will remove all the inadequacies and mismanagement of funds from the
multi-billion dollar Social Action Programme (SAP).
Informed sources said that finance minister Shaukat
Aziz assured the World Bank officials on Thursday that the complaints
against SAP by the donor agencies were being removed. He said that SAP
was a prestigious programme that aimed at improving the lot of the
people, which will continue with the help of the international donor
Sources quoting WB officials said that the donors
were ready to make available additional funds for SAP and poverty
alleviation, provided the programme was made corruption-free and that
the government should adequately address various complaints in this
It was agreed in the meeting that in order to
ensure better benefits for the poor, SAP should be restructured to
improve social services delivery system, education and health
SECP amends IC&IA Rules
Securities & Exchange Commission of Pakistan (SECP)
has further amended the Investment Companies and Investment Advisers
Rules, 1971, and Asset Management Rules, 1995 for the benefit of the
mutual funds industry, according to an official source.
The latest changes in the rules, Mr Zafar-ul-Haq
Hejazi, SECP Commissioner (Company Law) explained, were aimed to give
increased flexibility to both kinds of mutual funds in pursuing a
particular investment policy.
Although the Investment Companies Advisers Rules
(IC&IA) Rules have been in existence since 1971, it was only in
early 1990s that closed-end mutual funds began to be established.
IMF team arrives
A five-member International Monetary Fund (IMF)
team, headed by the assistant director for Middle East region Sena
Eken arrived on Wednesday to review the economy, officials said.
The team will hold talks with Finance Minister
Shaukat Aziz and senior government officials during its two-week stay.
"The economic performance, including revenue collection, fiscal
deficit, inflation, balance of trade and growth in the industrial as
well as agricultural sectors will come under discussion," a
senior finance ministry official said.
Ban on raw material sale
The federal government has slapped a ban on sale of
industrial raw materials to un-registered taxpayers through a
Presidential Ordinance issued on Wednesday.
The Ordinance stipulates that the industrial raw
materials imported by commercial and industrial importers to persons
and firms not registered with the Sales Tax department, would be an
So far, the un-registered persons have been paying
1.5 per cent extra tax on the supplies of such materials. The persons
enrolled under the Sales Tax Act 1990 would also be authorized to
obtain such materials.
Palm oil duty review in June
Pakistan will review palm oil import duties in June
when the budget for the next fiscal year will be announced, a finance
ministry official said on Wednesday.
"We are not going to touch the existing duty
structure until June," the official told Reuters. The agriculture
ministry is lobbying for higher duties on palm oil imports to protect
domestic crops such as cotton seed, canola and sunflower.
Romanians keen on joint ventures
Federation of Pakistan Chambers of Commerce and
Industry (FPCCI) and Romanian Chambers of Commerce and Industry (RCCI)
have renewed the cooperation agreement to further enhance the
bilateral trade. The agreement was signed between the two
organizations on August 18, 1994 in Karachi.
Belgian team due on 18th
An eight-member business delegation from Belgium
will visit Pakistan from February 18 to 25 to explore investment and
business opportunities, an official said.
Executives of six leading business houses of
Belgium and two officials constitute the delegation which would visit
Islamabad, Lahore and Karachi and meet chambers of commerce besides
meeting government officials.