BOSICOR ESTABLISHING COUNTRY'S LARGEST REFINERY, FIRST PETROCHEMICAL PLANT
Apr 06 - 12, 2009
Bosicor Pakistan Limited, the youngest refinery in the private sector of Pakistan is planning to expand its refining and marketing of petroleum products businesses besides setting up the first ever petrochemical plant in the country.
Amir Abbasciy, Chairman Bosicor, Wasi Khan, President and CEO Bosicor Refinery, and Kalim Siddiqi, President Petroleum Marketing, at a press briefing last week, highlighted expansion program. They strongly pleaded that new refinery with a capacity of 115,000 barrel per day and the petrochemical plant would help save precious foreign exchange of the country as well as offer new industrial opportunities for a large number of downstream industries in Pakistan.
When asked to comment on oil pricing in Pakistan, which does not reflect the low international oil prices, they declined to speak on the issue as the Supreme Court currently looks into it.
They, however, were in agreement that low energy prices help encouraging more economic activity which in turn generates relatively more revenue to the exchequer. The ministry of petroleum manages the economics of oil prices and they are in a better position to elaborate the oil price mechanism in Pakistan, they suggested.
These projects being developed under the flag of Bosicor include Petrochemical Chemical Pakistan Limited, which is under construction-Aromatic Complex of 17,100 barrel per day and Bosicor Oil Pakistan Limited a forthcoming refinery with a capacity of 115,000 barrel per day, a joint venture involving an investment worth $135 million in this sector. This project will help reduce the import of refined oil by 4.5 million and produce 150,000 tons of LPG besides quality motor gasoline as well as diesel after coming into operation.
Wasi Khan said that the new refinery located at district Hub, Lasbela Balochistan is in the advance stage of completion. The project includes installation of first Isomerization unit of the country with a capacity of 12,500 barrel a day and having facility to convert Heavy Naptha into high quality motor gasoline.
The refinery will have a facility of first single mooring buoy and sub-sea pipeline of the country and storage tanks with a capacity of 144,000 tons, the largest crude oil storage tanks of the country.
Kalim Siddiqi has recently joined Bosicor as the President of Bosicor Petroleum Marketing. He was associated with Pakistan State Oil as the Managing Director until last month. Kalim carries vast experience to his credit that will surly support and strengthen the marketing team of Bosicor. Speaking on the occasion, Kalim Siddiqi said that being Pakistan's only refinery, having a license for marketing petroleum products, and already with 40 retail outlets across the country, Bosicor is bullish at the prospects of enhancing its role in the petroleum marketing initiatives.
The petrochemical project, said Wasi, will not only open new doors for downstream industries but will be saving precious foreign exchange of the country by producing an import substitute. In addition, it will be expanding its operations abroad in the form of exports of the products including high quality motor gasoline and other petrochemical products.
Parvez Abbasi, it may be recalled, founded Bosicor in 1995. At present, Bosicor Pakistan Limited has oil refining capacity of 30,000 barrel per day.
Bosicor Corporation and Abraaj Capital-a premier investment firm with specialized experience in private equity investments in the Middle East, North Africa, and South Asia region-have entered in to a joint venture that is now helpful in expanding Bosicor ventures in refining and petrochemicals.
Through this new venture, Abraaj will bring international reputation and foreign currency equity funds for timely completion of the on-going projects while Bosicor in addition to its share in equity will also contribute its expertise in oil refining, petrochemicals, and marketing sector, which will add value in improving the pace of delivery of the growth plan and polishing performance skills.
Bosicor Pakistan Limited is listed in all the stock exchanges of the country and is the only refinery with its own marketing license. Presently, it has 40 gas stations and will increase the number of outlets to 58.