ARL - PAST, PRESENT, FUTURE

May 08 - May 14, 2006

ARL's management is committed to achieve the targets of enhancing its remaining capacity, provision of environment friendly quality petroleum products, clean, pollution free production practices and improved services.

ARL also plans to build a 150 MW Power Plant based on the Low Sulphur Fuel Oil (LSFO) from the indigenous crude oil processed at the ARL refinery in Rawalpindi, Pakistan.

As part of ARL's business expansion and diversification plans, a White Petroleum Oil pipeline project has been launched considering it the safest, economical, most reliable and environmental friendly mode of transportation. The project includes laying a 470 Km. Long pipeline from Machhike (Sheikhu Pura) to Morgah to Taru Jabba (Peshawar).

ARL intends to install a Pre-flash Unit 12,400 BPD to enhance ARL's existing distillation capacity to 52,500 BPD. This will cater for the expected crude discoveries in the region.

With the increase in crude processing capacity, Light Straight Run Naphtha (LSRN) availability will also increase. In order to further improve the octane pool and reduce benzene aromatics of the gasoline product, an Isomerization Unit is planned to upgrade the LSRN to higher octane.

Since its commissioning in 1922, Attock Refinery Limited (ARL) has passed through various stages of transformation and has stood the test of time through war and peace. From Batch distillation stills of 2.500 BPD, today it has grown into a modem state-of-the-art refinery with a capacity of 40,000 BPD.

ARL was incorporated as a private Limited Company in November 1978 to undertake the business of the Attock Oil Company Limited (AOC) relating to refining of crude oil and supply of refined petroleum products. It was subsequently converted into a Public Limited Company in June 1979 and is listed on the three Stock Exchanges of the country. The Company is also registered with the Central Depository Company of Pakistan (CDC).

Strategically located at Rawalpindi, ARL's configuration/processing allows it to process from the lightest to the heaviest (23-65 API) Crudes to produce a complete range of Petroleum Products from LPG to Asphalt including specialty products such as Jet Fuels (Jet A- I, JP-4, and JP-8) Cutback Asphalts, Polymer Modified Asphalt, Mineral Turpentine Oil and Solvent Oil.

ARL is receiving and processing crude from Northern and Southern oil fields of Pakistan. 70% of crude processed at ARL is received through pipeline and the rest is through road bowsers. ARL is the only refinery processing all the Heavy Crude produced in the country.

It all began in 1922, when two small (2,500 Barrel per day) "Stills" came on stream at Morgah. The setting up of these facilities followed the first discovery of oil at Khaur where drilling started on January 22, 1915 and at a very shallow depth of 223 feet 5,000 barrels of oil flowed. Fortune turned in 1937 with a discovery of oil in Well No. 7 at Dhulian. As the crude availability and the demand for petroleum products in the area increased, the refinery was expanded in late thirties and early forties. A 5,500 BPD Lummus Two-Stage-Distillation Unit, a Dubbs Themmal Cracker, Lubricating Oil Refinery with wax Purification facility and the Edeleanu Solvent Extraction unit were added. With subsequent discoveries of oil, the capacity of refinery was increased in 1981 by the addition of two Distillation units of 5,000 and 20~000 BPD capacity each. Another major expansion and upgradation project was completed in 1999 with the installation of Heavy crude Unit of 10,000 BPD and a Catalytic Reformer of 5,000 BPD. A Captive Power Plant with installed capacity of 7.5 Megawatt was commissioned in 2000.

VALUE ADDITION

ARL is in continuous search for value-added products and has produced and supplied Polymer Modified Bitumen (PMB), which is the first venture of this kind in the country and in line with our long term commitment for bringing innovation to our valued customers, ensuring durability and maintainability of Pakistan's roads in the process.

ARL has also successfully added JP-8 to its range of Jet fuels production, which already includes JP-I and JP-4.

ARL is supplying Unleaded Gasoline, Low Sulfur Diesel and Low Sulfur Furnace Oil to the market in line with its policy of producing more environment friendly fuels. ARL is now targeting low benzene and low aromatics gasoline production.

EXPORTS

In line with the Government's policy for maximization of exports, ARL has also successfully exported PMG, HSD and Jet Fuels to Afghanistan and Petrochemical grade Naphtha to Singapore, Middle East, etc.

CONTRIBUTION TO THE NATIONAL ECONOMY OF PAKISTAN

ARL is enormously contributing towards the economy of Pakistan in the following manner:

•Supply of petroleum products to Civil and Defense market including Airlines, Railways, Power stations, Cement and other industries.

•Providing an outlet to indigenous produced crude oil in Pakistan and particularly from the Northern fields.

•Generation of government duties/taxes on supply of petroleum products including General Sales Tax.

•Generation of foreign exchange earnings through petroleum products exports including Naphtha/Jet Fuels etc.

•Providing employment and work opportunities in the Refinery including deployment of large transportation fleet for crude oil and products movement.

ARL & GOOD BUSINESS PRACTICES

At ARL, we are committed to follow the highest standards of ethical business practices. Our actions are governed by the values and principles that we share. We have committed our self to conduct the business in an honest, ethical, transparent and legal manner.

ARL ENSURES FULL COMPLIANCE WITH:

1. Code of Corporate Governance issued by the Securities & Exchange Commission of Pakistan.

2. ARL's Statement of Ethics and Business Practices

3. ARL Core Values and

4. Code of Practice for Gender Justice at the workplace.

ARL compliance with the Good Business practices is evident from the following awards/recognitions received from:

Best Corporate Report in Energy Sector Award by Institute of Chartered Accountants of Pakistan (ICAP) & Institute of Cost & Management Accountants of Pakistan (ICMAP)

3rd Position 2000
2nd Position 2001
1st Position 2002
2nd Position 2003
1st Position 2004

Country's Premier Corporate Excellence Award b~ Management Association of Pakistan

1st Position 2002

Exporter of Petroleum Products Award by Rawalpindi Chamber of Commerce & Industry (RCCI) & Federation of Pakistan Chambers of Commerce & Industry (FPCCI)

1st Position 2003
1st Position 2004
1st Position 2005

CORPORATE SOCIAL RESPONSIBILITY (CSR)

ARL promotes sustainable community development as part of its core values to create the foundation for a more equitable, just, productive, competitive and knowledge-based environment. As a responsible corporate citizen, ARL believes in working as part of the community and has made sizeable contributions for projects in the field of environment, health, poverty alleviation, women's development, HRD, education and sports.

ARL's Corporate Social Responsibility (CSR) initiatives whether in the field of environment (National Cleaner Production Centre), health care (Attock Hospital (Pvt.) Limited, development of women skills, alleviation of poverty (Attock Sahara Foundation), or conservation of rich biodiversity (Morgah Biodiversity Park) are all sustainable in nature.