Iran proposes setting up oil refinery in Sindh
Friday, December 14, 2007
By our correspondent
Karachi: The Iranian Consul General in Karachi Massoud Mohammad Zamani on Thursday called on caretaker Sindh Chief Minister Justice (Retd) Abdul Qadir Halepota at the CM House Karachi and expressed his government’s interest in setting up an oil refinery in Sindh.
During the meeting, investment opportunities in the area of livestock, cement and construction of hotels and commercial complexes in Sindh were also discussed. The Iranian Consul General stressed the need for exploiting potential in trade, commerce and industry between Pakistan and Iran and said both the nations should take maximum advantage from the business ties and relations between Tehran and Islamabad.
Caretaker Sindh CM Justice (rtd) Halepota thanked Consul General of Iran in Karachi for presenting proposal regarding establishment of oil refinery in Sindh and assured him of taking up the matter with the federal government.
He expressed the hope that if materialized, the said project will bring prosperity and generate innumerable job opportunities for the people of Sindh in particular. During the meeting, other matters of mutual interest ranging from age-old fraternal ties between the two brotherly Islamic countries in all spheres of life including arts, culture and heritage also came under discussion.
http://www.thenews.com.pk/daily_detail.asp?id=86014
Full Version: Engineering news
Taseer asks PSM to enhance capacity
Staff Report
KARACHI: Caretaker Federal Minister for Industries, Production, and Special Initiatives, Salmaan Taseer has asked the management of the Pakistan Steel Mills (PSM) to strive for enhancement of its capacity.
During a visit to the mills on Tuesday, he said the demand for steel in the international market was growing rapidly, so the enhancement of capacity of the mills should be the top priority.
On a question about privatisation of the mills, he said: “If the performance of an organisation is good and required capital is also available, then there is no need to privatise such a unit.” However, if capital is required, a decision in this regard should be taken keeping in view the national interest, he said.
PSM Chairman Maj Gen ® Muhammad Javed briefed the minister about the performance of the mills. The PSM earned a profit of Rs 4.6 billion during the last financial year with capacity utilisation of 89 percent he said, adding that as a result the mills paid Rs one billion in dividends for the first time in its history. The PSM also offered two bonuses to its employees, he said.
Talking to reporters later he said the mills is likely to earn a net profit of more than Rs three billion during the current financial year. He said the mills has started preparations for manufacturing special high-grade steel for automotive manufacturers. He said the automotive industry would be able to sell it at a 10 times higher price after value addition.
He said the PSM would be using coal and iron ore found in Chamalang and Shah Rug areas of Balochistan and would save $16 million as a result. The mill has set a target of meeting 10 percent of its iron ore and coal requirements through local sources, he said. Besides yielding savings to the organisation it would boost the province’s economy, he said.
He said 3,000 tonnes of coal has already been acquired while an agreement for 45,000-60,000 tonnes of coal is about to be signed. He said that initially 15,000 tonnes of iron ore would be acquired after which procedure would be devised for its procurement keeping its standard in view. He said the PSM was holding talks with a Chinese company extracting copper from Saindak and the Pakistan Mineral Development Company would extract iron ore from slurry. He said 90 percent of matters in this regard have been finalised.
Under the arrangement, the Chinese company will set up a plant from its own resources to extract iron ore from slurry and the supply of iron ore will begin from March or April next year. He said the mills would be getting 50,000 to 60,000 tonnes of iron ore annually and would be saving Rs 120 million.
The chairman said the repair of one of the two coke oven batteries of the mills would be completed by the mid of next year. After this, the repair of the other oven would begin and would complete by the end of 2008, he said. Currently, the mills has to import coke worth Rs 5 to Rs 6 billion and after the completion of repairs, Rs 2 billion would be saved under this gead.
http://www.dailytimes.com.pk/default.asp?p...9-12-2007_pg5_6
Staff Report
KARACHI: Caretaker Federal Minister for Industries, Production, and Special Initiatives, Salmaan Taseer has asked the management of the Pakistan Steel Mills (PSM) to strive for enhancement of its capacity.
During a visit to the mills on Tuesday, he said the demand for steel in the international market was growing rapidly, so the enhancement of capacity of the mills should be the top priority.
On a question about privatisation of the mills, he said: “If the performance of an organisation is good and required capital is also available, then there is no need to privatise such a unit.” However, if capital is required, a decision in this regard should be taken keeping in view the national interest, he said.
PSM Chairman Maj Gen ® Muhammad Javed briefed the minister about the performance of the mills. The PSM earned a profit of Rs 4.6 billion during the last financial year with capacity utilisation of 89 percent he said, adding that as a result the mills paid Rs one billion in dividends for the first time in its history. The PSM also offered two bonuses to its employees, he said.
Talking to reporters later he said the mills is likely to earn a net profit of more than Rs three billion during the current financial year. He said the mills has started preparations for manufacturing special high-grade steel for automotive manufacturers. He said the automotive industry would be able to sell it at a 10 times higher price after value addition.
He said the PSM would be using coal and iron ore found in Chamalang and Shah Rug areas of Balochistan and would save $16 million as a result. The mill has set a target of meeting 10 percent of its iron ore and coal requirements through local sources, he said. Besides yielding savings to the organisation it would boost the province’s economy, he said.
He said 3,000 tonnes of coal has already been acquired while an agreement for 45,000-60,000 tonnes of coal is about to be signed. He said that initially 15,000 tonnes of iron ore would be acquired after which procedure would be devised for its procurement keeping its standard in view. He said the PSM was holding talks with a Chinese company extracting copper from Saindak and the Pakistan Mineral Development Company would extract iron ore from slurry. He said 90 percent of matters in this regard have been finalised.
Under the arrangement, the Chinese company will set up a plant from its own resources to extract iron ore from slurry and the supply of iron ore will begin from March or April next year. He said the mills would be getting 50,000 to 60,000 tonnes of iron ore annually and would be saving Rs 120 million.
The chairman said the repair of one of the two coke oven batteries of the mills would be completed by the mid of next year. After this, the repair of the other oven would begin and would complete by the end of 2008, he said. Currently, the mills has to import coke worth Rs 5 to Rs 6 billion and after the completion of repairs, Rs 2 billion would be saved under this gead.
http://www.dailytimes.com.pk/default.asp?p...9-12-2007_pg5_6
'Metallic mineral' exploration kicked off in Sindh
FARHAN ZAFAR
KARACHI (December 19 2007): A local mining company has kicked off 'metallic mineral' exploration/development in Nagarparkar district with an initial investment of around 50-100 million dollars.
The sources in Sindh Mines and Mineral Development Department told Business Recorder on Tuesday that initially, the department had allocated an area of 1,000sq-km to Zaver Mining Company, a subsidiary of Hashwani Group, to carry out mopping up for one year.
The company plans to start exploration with the help of satellite images and latest geological, geophysics and geo-chemical technology, the sources said. The successful reconnaissance will lead to the exploration and development of metallic minerals, the sources added. A memorandum of understanding (MoU) was singed between Directorate General of Mineral Development, Sindh Mines and Mineral Development Department and Zaver Mining Company on October 29, 2007 to develop the deposits and produce gold and other minerals in the area.
The geological map of Sindh reveals East of Thar Desert has exposures of very old rocks, which have been found containing huge deposits of metallic minerals. The sources hoped that the exploration of metallic mineral particularly of gold and silver and their import would earn precious forex for the country.
http://www.brecorder.com/index.php?id=6661...m=&supDate=
FARHAN ZAFAR
KARACHI (December 19 2007): A local mining company has kicked off 'metallic mineral' exploration/development in Nagarparkar district with an initial investment of around 50-100 million dollars.
The sources in Sindh Mines and Mineral Development Department told Business Recorder on Tuesday that initially, the department had allocated an area of 1,000sq-km to Zaver Mining Company, a subsidiary of Hashwani Group, to carry out mopping up for one year.
The company plans to start exploration with the help of satellite images and latest geological, geophysics and geo-chemical technology, the sources said. The successful reconnaissance will lead to the exploration and development of metallic minerals, the sources added. A memorandum of understanding (MoU) was singed between Directorate General of Mineral Development, Sindh Mines and Mineral Development Department and Zaver Mining Company on October 29, 2007 to develop the deposits and produce gold and other minerals in the area.
The geological map of Sindh reveals East of Thar Desert has exposures of very old rocks, which have been found containing huge deposits of metallic minerals. The sources hoped that the exploration of metallic mineral particularly of gold and silver and their import would earn precious forex for the country.
http://www.brecorder.com/index.php?id=6661...m=&supDate=
Dutch firm to facilitate Pakistani engineering firms
ISLAMABAD: A high level meeting held here Wednesday reviewed the arrangements between Engineering Development Board (EDB) and PUM, a Dutch experts organization in order to improve relations between the two bodies.
The EDB CEO led the team of Board and Ben Koreans represented PUM. Imtiaz Rastgar, Vice-Chairman Advisory Council of Ministry of Industries, Production and Special Initiatives was also present. The Dutch expert briefed about his experience with a local leading exporter of engineering goods, Tesla Industries, whom he was advising to improve his export and accounting system and co-relate it with production, procurement and sales since 7 th of this month. It may be recalled that PUM, the Dutch organization provides free services of its experts to business organizations of the developing world in order to improve their efficiency and exports. EDB is working as focal point of the Dutch organization in the country and facilitates the provisions of services of experts to various engineering firms. staff report
http://www.dailytimes.com.pk/default.asp?p...-12-2007_pg5_10
ISLAMABAD: A high level meeting held here Wednesday reviewed the arrangements between Engineering Development Board (EDB) and PUM, a Dutch experts organization in order to improve relations between the two bodies.
The EDB CEO led the team of Board and Ben Koreans represented PUM. Imtiaz Rastgar, Vice-Chairman Advisory Council of Ministry of Industries, Production and Special Initiatives was also present. The Dutch expert briefed about his experience with a local leading exporter of engineering goods, Tesla Industries, whom he was advising to improve his export and accounting system and co-relate it with production, procurement and sales since 7 th of this month. It may be recalled that PUM, the Dutch organization provides free services of its experts to business organizations of the developing world in order to improve their efficiency and exports. EDB is working as focal point of the Dutch organization in the country and facilitates the provisions of services of experts to various engineering firms. staff report
http://www.dailytimes.com.pk/default.asp?p...-12-2007_pg5_10
Just asking, but if Iran is offering to build a refinery in Sindh, then how come they can't deal with their own refinery problem?
Afghan trade team to import Pak made diesel engine
LAHORE (updated on: December 20, 2007, 14:05 PST): A high level private sector trade delegation from Afghanistan will visit Lahore after Eid ul Azha to import Pakistan made diesel engines for agricultural purpose.
Chief executive officer KAM Engineering, Khalid Saeed Khan told APP here on Thursday that the Pakistan made KAM diesel engines have become very popular in Afghanistan, compared to all brands of those made in India, and are being successfully used for agricultural purposes.
He said the Afghan team will visit the state of the art plant and see the engine assembly process, using indigenous technical know-how and expertise, which has helped to control the price of the product with minimum overhead expenses.
In their war torn country, the Afghanis are now inclined to bring maximum area under cultivation to meet the ever increasing need of food grains.
For this purpose, they need quality agri inputs and implements, and Pakistan made products offer the guarantee to compete in terms of quality and price, said the firm’s Director Marketing, Shah Muhammad Amin.
LAHORE (updated on: December 20, 2007, 14:05 PST): A high level private sector trade delegation from Afghanistan will visit Lahore after Eid ul Azha to import Pakistan made diesel engines for agricultural purpose.
Chief executive officer KAM Engineering, Khalid Saeed Khan told APP here on Thursday that the Pakistan made KAM diesel engines have become very popular in Afghanistan, compared to all brands of those made in India, and are being successfully used for agricultural purposes.
He said the Afghan team will visit the state of the art plant and see the engine assembly process, using indigenous technical know-how and expertise, which has helped to control the price of the product with minimum overhead expenses.
In their war torn country, the Afghanis are now inclined to bring maximum area under cultivation to meet the ever increasing need of food grains.
For this purpose, they need quality agri inputs and implements, and Pakistan made products offer the guarantee to compete in terms of quality and price, said the firm’s Director Marketing, Shah Muhammad Amin.
Mercedes-Benz plant project: GoP manages to revive $4 billion investment
ARIF RANA
ISLAMABAD (December 26 2007): In a bid to secure $4 billion foreign direct investment, the government has managed to revive Mercedes-Benz manufacturing plant project in Sheikhupura.
President Pervez Musharraf, who has been very keen to see Mercedes-Benz coming to Pakistan with its project offering trucks and other long vehicles' manufacturing facility for the army and other clients, used diplomatic channel to convey to the management that their investment in Pakistan was fully secure and the government will provide sovereign guarantee also.
The President asked Pakistan's ambassador in Germany to take up the matter with Mercedes-Benz Group to convince its management to review its decision of walking out of Pakistan regarding its proposed plan to set up a plant in Sheikhupura, Punjab. The sources said the ambassador held a couple of meetings with Mercedes-Benz management to convey the desire of the President of Pakistan.
The sources said in response to Pakistan's offer, Mercedes-Benz's Dubai-based partner Coastal Trading Group's representative Yusaf Najibi visited Pakistan some three weeks back and held separate meetings with President Musharraf and Prime Minister Mohammadmian Soomro and expressed willingness to revive the project on behalf of the Group.
The officials in Islamabad confirmed on Tuesday that Coastal Trading which is playing a key role in reviving the project has conveyed to government of Pakistan the Mercedes Group's interest for reviving the project and visiting Islamabad shortly for a commitment in writing.
The officials working with Coastal Group are very much hopeful that the GoP and Mercedes Group will formally sign a memorandum of understanding for the project sometime in January 2008.
Mercedes-Benz Group had entered Pakistan with its Dubai-based business partner - Coastal Group - in 2006 with a plan to set up a manufacturing plant for large vehicles. It also planned to set up parts manufacturing facility in Pakistan and export it to other countries where it has only assembling facilities. But the project was left unfinished and the investors walked out of Pakistan.
http://www.brecorder.com/index.php?id=6685...m=&supDate=
ARIF RANA
ISLAMABAD (December 26 2007): In a bid to secure $4 billion foreign direct investment, the government has managed to revive Mercedes-Benz manufacturing plant project in Sheikhupura.
President Pervez Musharraf, who has been very keen to see Mercedes-Benz coming to Pakistan with its project offering trucks and other long vehicles' manufacturing facility for the army and other clients, used diplomatic channel to convey to the management that their investment in Pakistan was fully secure and the government will provide sovereign guarantee also.
The President asked Pakistan's ambassador in Germany to take up the matter with Mercedes-Benz Group to convince its management to review its decision of walking out of Pakistan regarding its proposed plan to set up a plant in Sheikhupura, Punjab. The sources said the ambassador held a couple of meetings with Mercedes-Benz management to convey the desire of the President of Pakistan.
The sources said in response to Pakistan's offer, Mercedes-Benz's Dubai-based partner Coastal Trading Group's representative Yusaf Najibi visited Pakistan some three weeks back and held separate meetings with President Musharraf and Prime Minister Mohammadmian Soomro and expressed willingness to revive the project on behalf of the Group.
The officials in Islamabad confirmed on Tuesday that Coastal Trading which is playing a key role in reviving the project has conveyed to government of Pakistan the Mercedes Group's interest for reviving the project and visiting Islamabad shortly for a commitment in writing.
The officials working with Coastal Group are very much hopeful that the GoP and Mercedes Group will formally sign a memorandum of understanding for the project sometime in January 2008.
Mercedes-Benz Group had entered Pakistan with its Dubai-based business partner - Coastal Group - in 2006 with a plan to set up a manufacturing plant for large vehicles. It also planned to set up parts manufacturing facility in Pakistan and export it to other countries where it has only assembling facilities. But the project was left unfinished and the investors walked out of Pakistan.
http://www.brecorder.com/index.php?id=6685...m=&supDate=
Financial package for engineering sector finalised
The government’s financial package worth billions of rupees is ready for the uplifting of engineering sector that included providing credit from State Bank of Pakistan and commercial banks. The package- Long Term Financing Facility (LTFF) - is available both for the manufacturers and exporters of engineering goods to increase the production level and exports in this sector, an official in Engineering Development Board said.
“The State Bank has allocated Rs 8 billion to commercial banks for the period of January-June 2008. Under the package, loan will be provided to the engineering sector for a period of 10 years including two years of grace period,” spokesman for EDB told .
Under the scheme, exporters will get loans for a maximum period of 10 years including a maximum grace period of 2 years from commercial banks including Islamic Banks and approved Development Financial Institutions.
The EDB has asked the engineering industry in general and exporters in particular to fully utilize the LTFF of the government for expanding and modernizing their production infrastructure to gain more competitiveness and innovative production of goods. The main aim of the scheme is to facilitate the import of new plant, machinery and equipment for the production of goods imported by export oriented projected, he elucidated.
Tracing the background of the scheme, the EDB has been pursuing the economic managers of the government to provide long-term financial facility for boosting the engineering goods industry. Now the facility is available and it has been dully incorporated in the development categories of industrial sector. The engineering industry is in a position to make necessary technological development in order to boost export, it claims. The government has planned to boost this potential sector as part of diversification of exports. The EDB officials are of the view that the government to concentrate on the engineering sector.
to make compatible in the world market to minimize the total reliance on textile sector, which is presently mainly responsible for pushing the exports up or down.
http://www.nation.com.pk/daily/jan-2008/4/bnews9.php
The government’s financial package worth billions of rupees is ready for the uplifting of engineering sector that included providing credit from State Bank of Pakistan and commercial banks. The package- Long Term Financing Facility (LTFF) - is available both for the manufacturers and exporters of engineering goods to increase the production level and exports in this sector, an official in Engineering Development Board said.
“The State Bank has allocated Rs 8 billion to commercial banks for the period of January-June 2008. Under the package, loan will be provided to the engineering sector for a period of 10 years including two years of grace period,” spokesman for EDB told .
Under the scheme, exporters will get loans for a maximum period of 10 years including a maximum grace period of 2 years from commercial banks including Islamic Banks and approved Development Financial Institutions.
The EDB has asked the engineering industry in general and exporters in particular to fully utilize the LTFF of the government for expanding and modernizing their production infrastructure to gain more competitiveness and innovative production of goods. The main aim of the scheme is to facilitate the import of new plant, machinery and equipment for the production of goods imported by export oriented projected, he elucidated.
Tracing the background of the scheme, the EDB has been pursuing the economic managers of the government to provide long-term financial facility for boosting the engineering goods industry. Now the facility is available and it has been dully incorporated in the development categories of industrial sector. The engineering industry is in a position to make necessary technological development in order to boost export, it claims. The government has planned to boost this potential sector as part of diversification of exports. The EDB officials are of the view that the government to concentrate on the engineering sector.
to make compatible in the world market to minimize the total reliance on textile sector, which is presently mainly responsible for pushing the exports up or down.
http://www.nation.com.pk/daily/jan-2008/4/bnews9.php
QUOTE(ABBASIA @ Jul 24 2005, 10:57 PM) 
Hello All,
This topic is produced for the discussion of High Tech Engineering in Pakistan, as our economy is expanding we need investment in Engineering sector that is Steel manufacturing, high tech auto parts and complex machineries. I would like all the participant to post any significant development in this sector to be posted over here. This is the area which will feed our next level of developments and if our exports are to cross the 20 billion dollar mark then this area has to contribute significantly.
This topic is produced for the discussion of High Tech Engineering in Pakistan, as our economy is expanding we need investment in Engineering sector that is Steel manufacturing, high tech auto parts and complex machineries. I would like all the participant to post any significant development in this sector to be posted over here. This is the area which will feed our next level of developments and if our exports are to cross the 20 billion dollar mark then this area has to contribute significantly.
hi there ,we have been looking to invest in pakistan for over 2years.we are in tyre business in england,we have not had any problem in any other country but pakistan!!!!!!!!!if pakistan can get reedof the tussers may be it can improve.
QUOTE(bash1 @ Jan 14 2008, 05:53 PM)
hi there ,we have been looking to invest in pakistan for over 2years.we are in tyre business in england,we have not had any problem in any other country but pakistan!!!!!!!!!if pakistan can get reedof the tussers may be it can improve.
Hi Bash1, plz inform me what kind of problem you have been facing, this might help us to understand the gravity of ur problems and also see if we can do anything about all this.
Comstech to publish directory of Muslim scientists
ISLAMABAD, Jan 28 (APP): The Committee on Science and Technological Cooperation (COMSTECH) will publish a directory of Muslim scientists working on research projects across the world by the end of February.The contributions made by the scientists and engineers are being assessed through a set of research performance related to indicators developed by Comstech. The indicators include research articles, competitive research grants and international awards.
A total of 670 curriculum vitae were received from researchers from OIC countries, out of which 383 have so far been assessed. These scientists have contributed in the fields including agriculture, biology, chemistry, environmental sciences and medical technology.
Realizing that a large number of high quality research personnel is fundamental to the promotion of science and technology, Comstech had decided to undertake a study to identify scientists and engineers who are involved in world class research.
The project of launching the directory was first approved by the 7th General Assembly Meeting in 1996 and it was originally called “Scientists in the Muslim World” In the beginning, ISESCO joined this endeavour and the publication was initially called ‘COMSTECH-ISESCO Directory of Active Scientists in OIC Member States and their Recent Scientific Publications’.
Its scope was later widened and it was renamed “Database of Active Scientists and Institutions in the Organization of the Islamic Conference (OIC) member states” by the Executive Committee.
ISLAMABAD, Jan 28 (APP): The Committee on Science and Technological Cooperation (COMSTECH) will publish a directory of Muslim scientists working on research projects across the world by the end of February.The contributions made by the scientists and engineers are being assessed through a set of research performance related to indicators developed by Comstech. The indicators include research articles, competitive research grants and international awards.
A total of 670 curriculum vitae were received from researchers from OIC countries, out of which 383 have so far been assessed. These scientists have contributed in the fields including agriculture, biology, chemistry, environmental sciences and medical technology.
Realizing that a large number of high quality research personnel is fundamental to the promotion of science and technology, Comstech had decided to undertake a study to identify scientists and engineers who are involved in world class research.
The project of launching the directory was first approved by the 7th General Assembly Meeting in 1996 and it was originally called “Scientists in the Muslim World” In the beginning, ISESCO joined this endeavour and the publication was initially called ‘COMSTECH-ISESCO Directory of Active Scientists in OIC Member States and their Recent Scientific Publications’.
Its scope was later widened and it was renamed “Database of Active Scientists and Institutions in the Organization of the Islamic Conference (OIC) member states” by the Executive Committee.
Govt to introduce geyser-making standards
Friday, February 08, 2008
ISLAMABAD: The government on Thursday decided to introduce standards for geyser manufacturing aimed at increasing its efficiency that would ultimately help in reducing its consumption and strengthen the government’s endeavours for conservation of energy.
In a meeting held here with Engineering Development Board General Manager Zahid J Yaqub in the chair, it was pointed out that research and development (R&D) was an integral part of the policy for achieving global standards under which the local geysers’ energy efficiency was much lower than world standards. A local manufacturer had come forward to initiate R&D for various components of geysers such as burners and thermostats, says a news statement issued here.
Leading manufacturers of geysers, representatives of government agencies and senior officials of Sui Northern Gas Pipelines Limited (SNGPL) attended the meeting. The Pakistan Standards and Quality Control Authority (PSQCA) has drafted necessary standards which are available on the authority’s web site and would also be circulated to the chambers and manufacturers before finalisation.
The industry emphasised the need of duty-free import of various components of instant water heaters in order to introduce quality products in the market. Some manufacturers showed their willingness to produce high-quality products, if investment in R&D was made by the government.
The meeting also reviewed various proposals for increasing awareness of consumers by adopting simple methods such as replacement of three-year-old geysers, insulation of overhead water tanks and pipes and installation of geysers in covered areas. It was felt that these measures, if adopted, could lead to considerable energy conservation.
Earlier, Zahid Yaqub, in his welcome address, emphasised the need of energy conservation to overcome the energy crisis in the country. He said the government was undertaking an initiative to minimise the magnitude of the crisis. One of the strategies adopted was to enhance efficiency of different energy-consuming household products currently being produced in the country in collaboration with the relevant private sector industry. He added the crisis should be converted into an opportunity to introduce high-quality products in the market.
Friday, February 08, 2008
ISLAMABAD: The government on Thursday decided to introduce standards for geyser manufacturing aimed at increasing its efficiency that would ultimately help in reducing its consumption and strengthen the government’s endeavours for conservation of energy.
In a meeting held here with Engineering Development Board General Manager Zahid J Yaqub in the chair, it was pointed out that research and development (R&D) was an integral part of the policy for achieving global standards under which the local geysers’ energy efficiency was much lower than world standards. A local manufacturer had come forward to initiate R&D for various components of geysers such as burners and thermostats, says a news statement issued here.
Leading manufacturers of geysers, representatives of government agencies and senior officials of Sui Northern Gas Pipelines Limited (SNGPL) attended the meeting. The Pakistan Standards and Quality Control Authority (PSQCA) has drafted necessary standards which are available on the authority’s web site and would also be circulated to the chambers and manufacturers before finalisation.
The industry emphasised the need of duty-free import of various components of instant water heaters in order to introduce quality products in the market. Some manufacturers showed their willingness to produce high-quality products, if investment in R&D was made by the government.
The meeting also reviewed various proposals for increasing awareness of consumers by adopting simple methods such as replacement of three-year-old geysers, insulation of overhead water tanks and pipes and installation of geysers in covered areas. It was felt that these measures, if adopted, could lead to considerable energy conservation.
Earlier, Zahid Yaqub, in his welcome address, emphasised the need of energy conservation to overcome the energy crisis in the country. He said the government was undertaking an initiative to minimise the magnitude of the crisis. One of the strategies adopted was to enhance efficiency of different energy-consuming household products currently being produced in the country in collaboration with the relevant private sector industry. He added the crisis should be converted into an opportunity to introduce high-quality products in the market.
Karachi Tools, Dies and Moulds Centre inaugurated
KARACHI (February 12 2008): President Pervez Musharraf on Monday performed the inauguration of state-of-the-art Karachi Tools, Dies and Moulds Centre (KTDMC) for Rs 515 million at Governor House here.
Calling it a great achievement, President Musharraf said the state-of-the-art Karachi Tools, Dies and Moulds Centre (KTDMC) would help Pakistani engineering industry to get precise moulds and dies and also the consultancy for their projects. He said the KTDMC was a unique example of public-private co-operation, headed by private sector experts, which would not only train skilled manpower, but also produce tools, dies and moulds for industrial purposes and serve as designing, consultancy and manufacturing facility. President Musharraf said this project was absolutely in line with the strategy of the government for developing a link between education, especially engineering education and the industry, and would also help our strategy of poverty alleviation and job creation.
He said the government was opening nine new universities with the help of developed countries for producing world class engineers in the subjects that Pakistani industry needed. He said development of highly qualified engineers by these universities and technicians of world standards by their technology parks would build a pool of technical persons for the local industry.
President Musharraf underlined the need for establishing skill development centres in the country to teach minor skills to the people, offering short courses of four to six months. "I am encouraging Pakistan Army to open these centres to train plumbers, shutterers, scaffolding (pipe jointing) and other fields.
These skills would give them jobs not only in Pakistan, but also abroad, especially in the Middle East, he noted. "We must wake up and impart skills to our people. This is what we are trying to do so that less educated can go for the skills so that they can get job in Pakistan and abroad," he added.
He said the government was trying to develop high quality engineers and technicians. "This is the future of technical and industrial development of Pakistan and poverty alleviation," he noted.
He said this non-profit project would produce tools, moulds and dies, train skilled workers, offer digital designing and upgrade local engineering sector and earn a revenue of Rs 75 million per annum by completing production orders.
KARACHI (February 12 2008): President Pervez Musharraf on Monday performed the inauguration of state-of-the-art Karachi Tools, Dies and Moulds Centre (KTDMC) for Rs 515 million at Governor House here.
Calling it a great achievement, President Musharraf said the state-of-the-art Karachi Tools, Dies and Moulds Centre (KTDMC) would help Pakistani engineering industry to get precise moulds and dies and also the consultancy for their projects. He said the KTDMC was a unique example of public-private co-operation, headed by private sector experts, which would not only train skilled manpower, but also produce tools, dies and moulds for industrial purposes and serve as designing, consultancy and manufacturing facility. President Musharraf said this project was absolutely in line with the strategy of the government for developing a link between education, especially engineering education and the industry, and would also help our strategy of poverty alleviation and job creation.
He said the government was opening nine new universities with the help of developed countries for producing world class engineers in the subjects that Pakistani industry needed. He said development of highly qualified engineers by these universities and technicians of world standards by their technology parks would build a pool of technical persons for the local industry.
President Musharraf underlined the need for establishing skill development centres in the country to teach minor skills to the people, offering short courses of four to six months. "I am encouraging Pakistan Army to open these centres to train plumbers, shutterers, scaffolding (pipe jointing) and other fields.
These skills would give them jobs not only in Pakistan, but also abroad, especially in the Middle East, he noted. "We must wake up and impart skills to our people. This is what we are trying to do so that less educated can go for the skills so that they can get job in Pakistan and abroad," he added.
He said the government was trying to develop high quality engineers and technicians. "This is the future of technical and industrial development of Pakistan and poverty alleviation," he noted.
He said this non-profit project would produce tools, moulds and dies, train skilled workers, offer digital designing and upgrade local engineering sector and earn a revenue of Rs 75 million per annum by completing production orders.
Today's in The News I read about Indus Motors investing in body sheet pressing plant for its assembly plant at Karachi.
Muta reviews Indus Motor projects
OUR STAFF REPORTER
KARACHI - Hirofumi Muta, Managing Officer, Toyota Motor Corporation, Japan, visited Indus Motor Company’s manufacturing plant at Port Qasim, to review the ongoing expansion projects of the company.
These projects, which include a press plant for making car body parts, automations of production line, etc., are part of a long term technology transfer strategy that Indus has embarked on to enhance in-house manufacturing, increased localization, and production efficiency. Apart from utilizing modern technology for production, Indus is also taking measures for cost reduction. It has set up its own environment friendly Co-Generation Power Plant to optimise energy consumption. Muta was all praise for the Indus Team, appreciating their skills and efforts for built-in quality. Reiterating Toyota’s commitment to Pakistan, Muta said.
“Toyota will continue to provide all possible assistance for further expanding production facilities, for transfer of technology and for training of Pakistanis”.
Addressing the Indus Management team, he requested them to continue their efforts in providing quality products and quality after-sales service to meet the rising expectations of Pakistani customers. He also thanked Toyota customers for reposing their trust and confidence in locally made Toyota and Daihatsu cars.
http://www.nation.com.pk/daily/mar-2008/7/bnews9.php
OUR STAFF REPORTER
KARACHI - Hirofumi Muta, Managing Officer, Toyota Motor Corporation, Japan, visited Indus Motor Company’s manufacturing plant at Port Qasim, to review the ongoing expansion projects of the company.
These projects, which include a press plant for making car body parts, automations of production line, etc., are part of a long term technology transfer strategy that Indus has embarked on to enhance in-house manufacturing, increased localization, and production efficiency. Apart from utilizing modern technology for production, Indus is also taking measures for cost reduction. It has set up its own environment friendly Co-Generation Power Plant to optimise energy consumption. Muta was all praise for the Indus Team, appreciating their skills and efforts for built-in quality. Reiterating Toyota’s commitment to Pakistan, Muta said.
“Toyota will continue to provide all possible assistance for further expanding production facilities, for transfer of technology and for training of Pakistanis”.
Addressing the Indus Management team, he requested them to continue their efforts in providing quality products and quality after-sales service to meet the rising expectations of Pakistani customers. He also thanked Toyota customers for reposing their trust and confidence in locally made Toyota and Daihatsu cars.
http://www.nation.com.pk/daily/mar-2008/7/bnews9.php
ABBASIA,
Just wanted to thank you for all the wonderful contribution you make on this forum. Whenever i see your name next to a new post in a thread i know i will find something that i want to know and read about. Keep up the good work!
Just wanted to thank you for all the wonderful contribution you make on this forum. Whenever i see your name next to a new post in a thread i know i will find something that i want to know and read about. Keep up the good work!
QUOTE(maglomanic @ Mar 7 2008, 12:47 AM)
ABBASIA,
Just wanted to thank you for all the wonderful contribution you make on this forum. Whenever i see your name next to a new post in a thread i know i will find something that i want to know and read about. Keep up the good work!
Just wanted to thank you for all the wonderful contribution you make on this forum. Whenever i see your name next to a new post in a thread i know i will find something that i want to know and read about. Keep up the good work!
Thanks Maglomanic I try to post news and info that can boost morale of the nation and show our achievements, these are good and as well as desperate times. We can turn the tide of time in our favour by our resilience. Successful nations are those who bend their head and continue to strive for better work. We should also be doing so.
Exports of surgical goods surge to $186.664m
Staff Report
KARACHI: The exports of surgical goods, medical instruments and pharmaceutical products have surged to $186.664 million in the first seven months of the current fiscal year.
The exports registered a growth of $37.537 million or 25 percent as compared to $149.127 million during the same period 2006-07. According to Federal Bureau of Statistics (FBS) the exports of surgical goods and medical instruments rose to $129.903 million in July-January 2007-08 as compared to $95.941 million during the same period last year, depicting 35 percent increase.
Major export destinations of these products were Afghanistan, Sri Lanka, Philippines, Nigeria, Singapore, UAE, Sudan, Netherlands, Saudi Arabia, US, France and Germany, according to the Pakistan Pharmaceutical Exporters Association (PPMA).
Similarly, in January 2008, the exports registered 22.99 percent increase to $16.868 million as compared to $13.715 million during January 2007. However, the exports declined by 0.48 percent if compared with $16.95 million during December 2007.
The exports of pharmaceutical products also posted 6.27 percent growth to $56.761 million in the first seven months of the current fiscal year as compared to $53.186 million during the under review period of 2006-07.
The exports of pharmaceutical products stood at $7.125 million in January 2008, showing 1.04 percent growth comparing $7.141 million during the same month of 2007. But it showed healthy growth of 32.95 percent when compared with $5.427 million during December 2007.
http://www.dailytimes.com.pk/default.asp?p..._9-3-2008_pg5_5
Staff Report
KARACHI: The exports of surgical goods, medical instruments and pharmaceutical products have surged to $186.664 million in the first seven months of the current fiscal year.
The exports registered a growth of $37.537 million or 25 percent as compared to $149.127 million during the same period 2006-07. According to Federal Bureau of Statistics (FBS) the exports of surgical goods and medical instruments rose to $129.903 million in July-January 2007-08 as compared to $95.941 million during the same period last year, depicting 35 percent increase.
Major export destinations of these products were Afghanistan, Sri Lanka, Philippines, Nigeria, Singapore, UAE, Sudan, Netherlands, Saudi Arabia, US, France and Germany, according to the Pakistan Pharmaceutical Exporters Association (PPMA).
Similarly, in January 2008, the exports registered 22.99 percent increase to $16.868 million as compared to $13.715 million during January 2007. However, the exports declined by 0.48 percent if compared with $16.95 million during December 2007.
The exports of pharmaceutical products also posted 6.27 percent growth to $56.761 million in the first seven months of the current fiscal year as compared to $53.186 million during the under review period of 2006-07.
The exports of pharmaceutical products stood at $7.125 million in January 2008, showing 1.04 percent growth comparing $7.141 million during the same month of 2007. But it showed healthy growth of 32.95 percent when compared with $5.427 million during December 2007.
http://www.dailytimes.com.pk/default.asp?p..._9-3-2008_pg5_5
IMC plans rolling out 70,000 units per year
Investment in expansion, technology transfer, capacity building of local vendors to continue, says IMC Director Corporate Planning and Customer Relations
Tuesday, March 11, 2008
By Hina Mahgul Rind
KARACHI: Indus Motor Company Limited plans to make investment in enhancing production capacity from 50,000 to 70,000 units per year.
The company has installed an environment friendly Co-Generation Power Plant, an in house Press Shop to make body parts for vehicles while expansions continue in other sections of the plant. IMC has also made large investments in capacity building of vendors to match Toyota’s global quality standards said IMC Director Corporate Planning and Customer Relations Shah M Saad Husain while talking to The News.
The production capacity of the auto assemblers has increased four times in last five years. The gap between supply and demand has already been filled and most of the vehicles are now readily available.
“IMC is continuously increasing production capacity to cater to the market demand. Our production capacity has increased from 57 units per day to 200 units per day resulting in reduced delivery periods. Most vehicles are available on 30-day delivery with some variation due to colour,” he said.
Despite downward revision of the maximum age for used cars from 5 to 3 years they still continue to enter the country. However the reduction is a welcome step for the local auto industry facing importers using false documentation and purchasing overseas Pakistanis information to bring used cars in the country, he said. Unless there is further reduction in age of used vehicle to 2 years, it will continue to hurt the local auto industry.
Used vehicle imports are still about 14 percent of domestic passenger car and LCV production. The import tariff on used cars still remains considerably lower compared to the protection offered to local manufacturers in India, Thailand and other countries through higher duties and non-tariff restrictions, Saad said.
“Our auto policy should provide tariff and non-tariff barriers to protect and allow the indigenous auto industry to grow,” he affirmed. He said that technology transfer is an ongoing process. IMC has a detailed program of Technical Assistance Agreements (TAA) for vendors. Over 60 percent localization was achieved in Corolla and over 65 percent in Coure with major investment of IMC.
Challenges faced by the industry in Pakistan are, technological readiness, infrastructure, inefficiency of legal framework, firm-level technology absorption, low penetration of computers and Internet. Other challenges include the imposition of Custom duty on Royalty and Technical Fee being paid under the TAA.
Saad said that for the first time after many years a joint government and industry platform in the shape of AIDP has emerged which has fixed the Tariff Regime till 20011-12. If implemented fairly without changes the AIDP should further increase investment in the local manufacturing of automobiles and auto parts he sai adding, however work on many aspects of the AIDP has not started nor has a concrete implementations plan been made.
It is essential to maintain current industry momentum. For the first time after many years the auto industry sales have declined. He said that the major issues that the auto industry faces include inconsistent policies, used vehicle imports, under invoicing and smuggling of parts, no consultation with the industry while negotiating trade agreements with other countries, 2.5 percent WHT, custom duty on royalty payments, lower depreciation rate on vehicles, documentation of spare parts business and withdrawal of excise duty from franchise services.
Japan is considered to be the 4th largest investment partner of Pakistan with $400 million investment according to the SBP report.The Auto sector is dominated by Japanese multinationals and there has been increased investment for production capacity enhancement. Investment has also been made in upstream industries. Japanese investment in the automobile sector is expected to increase in coming years.
Pakistan Japan Business forum is already active and working on other possible areas of investment which can provide economic and commercial benefit.Some possible sectors in which Japanese firms could be interested are energy, infrastructure development and technical training.
http://www.thenews.com.pk/daily_detail.asp?id=100747
Investment in expansion, technology transfer, capacity building of local vendors to continue, says IMC Director Corporate Planning and Customer Relations
Tuesday, March 11, 2008
By Hina Mahgul Rind
KARACHI: Indus Motor Company Limited plans to make investment in enhancing production capacity from 50,000 to 70,000 units per year.
The company has installed an environment friendly Co-Generation Power Plant, an in house Press Shop to make body parts for vehicles while expansions continue in other sections of the plant. IMC has also made large investments in capacity building of vendors to match Toyota’s global quality standards said IMC Director Corporate Planning and Customer Relations Shah M Saad Husain while talking to The News.
The production capacity of the auto assemblers has increased four times in last five years. The gap between supply and demand has already been filled and most of the vehicles are now readily available.
“IMC is continuously increasing production capacity to cater to the market demand. Our production capacity has increased from 57 units per day to 200 units per day resulting in reduced delivery periods. Most vehicles are available on 30-day delivery with some variation due to colour,” he said.
Despite downward revision of the maximum age for used cars from 5 to 3 years they still continue to enter the country. However the reduction is a welcome step for the local auto industry facing importers using false documentation and purchasing overseas Pakistanis information to bring used cars in the country, he said. Unless there is further reduction in age of used vehicle to 2 years, it will continue to hurt the local auto industry.
Used vehicle imports are still about 14 percent of domestic passenger car and LCV production. The import tariff on used cars still remains considerably lower compared to the protection offered to local manufacturers in India, Thailand and other countries through higher duties and non-tariff restrictions, Saad said.
“Our auto policy should provide tariff and non-tariff barriers to protect and allow the indigenous auto industry to grow,” he affirmed. He said that technology transfer is an ongoing process. IMC has a detailed program of Technical Assistance Agreements (TAA) for vendors. Over 60 percent localization was achieved in Corolla and over 65 percent in Coure with major investment of IMC.
Challenges faced by the industry in Pakistan are, technological readiness, infrastructure, inefficiency of legal framework, firm-level technology absorption, low penetration of computers and Internet. Other challenges include the imposition of Custom duty on Royalty and Technical Fee being paid under the TAA.
Saad said that for the first time after many years a joint government and industry platform in the shape of AIDP has emerged which has fixed the Tariff Regime till 20011-12. If implemented fairly without changes the AIDP should further increase investment in the local manufacturing of automobiles and auto parts he sai adding, however work on many aspects of the AIDP has not started nor has a concrete implementations plan been made.
It is essential to maintain current industry momentum. For the first time after many years the auto industry sales have declined. He said that the major issues that the auto industry faces include inconsistent policies, used vehicle imports, under invoicing and smuggling of parts, no consultation with the industry while negotiating trade agreements with other countries, 2.5 percent WHT, custom duty on royalty payments, lower depreciation rate on vehicles, documentation of spare parts business and withdrawal of excise duty from franchise services.
Japan is considered to be the 4th largest investment partner of Pakistan with $400 million investment according to the SBP report.The Auto sector is dominated by Japanese multinationals and there has been increased investment for production capacity enhancement. Investment has also been made in upstream industries. Japanese investment in the automobile sector is expected to increase in coming years.
Pakistan Japan Business forum is already active and working on other possible areas of investment which can provide economic and commercial benefit.Some possible sectors in which Japanese firms could be interested are energy, infrastructure development and technical training.
http://www.thenews.com.pk/daily_detail.asp?id=100747
Making steel from local iron ore becomes viable
Tuesday, March 11, 2008
By Mansoor Ahmad
LAHORE: With the global steel rates rising, it has become economically viable for steel mills to use local iron ore. Even the Pakistan Steel Mills that has used imported ore for over three decades has started using local iron ore.
Local and international investors are studying the possibility of setting up small to medium steel plants that would use locally available iron ore, the News has learnt. Producing steel from indigenous ore was earlier ignored due to high extraction cost and low iron content. However, the soaring steel and ore price in global market has made the idea of extracting steel from local ore feasible.
The investors are optimistic about safety of their investment as the demand for steel is rising rapidly and the local production is almost stagnant. In 2005-06 the steel smelters and the Pakistan Steel together produced 3.9 million tons of steel products against local demand of 7.3 million tons.
The smelters and re-rolling mills use imported, PSM produced billets or scrap to produce steel products. The PSM continues to increase the rates of steel products in line with the global rates because the iron ore it imports has also become more expensive.
The rates of iron ore from which the steel is extracted in the steel mills have increased sharply in past five years from $27.83 per ton in 2002-03 to $73.45 per ton in 2006-08. The current rates are above $85 per ton. The rates of billets that are the basic raw material for making steel products have increased from $360 per ton in 2005 to $750 per ton in 2007 and are still rising. The rates of steel scrap used by smelters for making billets have increased to $540 per ton.
A study by The News revealed that the major iron ore reserves found in Pakistan amount to 947.5 million ton. The deposits are present in Punjab (Sargodha and Kalabagh), NWFP (Nizampur and Hazara), and Balochistan (Kalat and Chaghi). The ore from these deposits contains 20 to 60 per cent iron. The Pakistan Steel Mills has successfully used local iron ore and is expected to gradually reduce the dependence on imported iron ore.
Over three decades back a plan to establish steel mill at Kalabagh was shelved as the 450 million deposits of iron ore found at that site had iron content of 30-35 per cent. Steel experts state that the extraction of iron from these deposits is now feasible, as the global rates have gone too high.
Another advantage that the investors in steel sector found in Pakistan was the availability of huge deposits of coal that is a main energy source for steel melting. Coal reserves in Pakistan are mainly concentrated in Thar that has got second highest coal reserves in the world. Coal is also found in Punjab and Balochistan and some nominal quantity has also been discovered in Northern areas.
Taking advantage of this situation the Engineering Development Board of Pakistan has chalked out a plan to increase the production capacity of indigenous steel to 10 million tons from the current capacity of 5.190 million tons (the actual current production is lower because some steel melting and re-rolling plants have closed). The Chief Executive officer EDB Almad Hyder is confident that both local and foreign investors would take advantage of the current favorable investment in steel sector in Pakistan. He said a foreign Middle East based group is already installing a unit of the size of PSM at Karachi while some investors have completed their feasibility studies for establishing some units in Punjab and NWFP.
World steel production rose by 49 per cent during 2001-06 reaching 1.3 billion tons in 2007. Global steel experts predicted that the world demand for steel would grow by compound annual growth rate of 4.9 per cent during 2007-2010. The latest projections however suggest that the growth rate in 2008 would be around 6.8 per cent. High growth in India and China is said to have increased steel demand.
http://www.thenews.com.pk/daily_detail.asp?id=100745
Tuesday, March 11, 2008
By Mansoor Ahmad
LAHORE: With the global steel rates rising, it has become economically viable for steel mills to use local iron ore. Even the Pakistan Steel Mills that has used imported ore for over three decades has started using local iron ore.
Local and international investors are studying the possibility of setting up small to medium steel plants that would use locally available iron ore, the News has learnt. Producing steel from indigenous ore was earlier ignored due to high extraction cost and low iron content. However, the soaring steel and ore price in global market has made the idea of extracting steel from local ore feasible.
The investors are optimistic about safety of their investment as the demand for steel is rising rapidly and the local production is almost stagnant. In 2005-06 the steel smelters and the Pakistan Steel together produced 3.9 million tons of steel products against local demand of 7.3 million tons.
The smelters and re-rolling mills use imported, PSM produced billets or scrap to produce steel products. The PSM continues to increase the rates of steel products in line with the global rates because the iron ore it imports has also become more expensive.
The rates of iron ore from which the steel is extracted in the steel mills have increased sharply in past five years from $27.83 per ton in 2002-03 to $73.45 per ton in 2006-08. The current rates are above $85 per ton. The rates of billets that are the basic raw material for making steel products have increased from $360 per ton in 2005 to $750 per ton in 2007 and are still rising. The rates of steel scrap used by smelters for making billets have increased to $540 per ton.
A study by The News revealed that the major iron ore reserves found in Pakistan amount to 947.5 million ton. The deposits are present in Punjab (Sargodha and Kalabagh), NWFP (Nizampur and Hazara), and Balochistan (Kalat and Chaghi). The ore from these deposits contains 20 to 60 per cent iron. The Pakistan Steel Mills has successfully used local iron ore and is expected to gradually reduce the dependence on imported iron ore.
Over three decades back a plan to establish steel mill at Kalabagh was shelved as the 450 million deposits of iron ore found at that site had iron content of 30-35 per cent. Steel experts state that the extraction of iron from these deposits is now feasible, as the global rates have gone too high.
Another advantage that the investors in steel sector found in Pakistan was the availability of huge deposits of coal that is a main energy source for steel melting. Coal reserves in Pakistan are mainly concentrated in Thar that has got second highest coal reserves in the world. Coal is also found in Punjab and Balochistan and some nominal quantity has also been discovered in Northern areas.
Taking advantage of this situation the Engineering Development Board of Pakistan has chalked out a plan to increase the production capacity of indigenous steel to 10 million tons from the current capacity of 5.190 million tons (the actual current production is lower because some steel melting and re-rolling plants have closed). The Chief Executive officer EDB Almad Hyder is confident that both local and foreign investors would take advantage of the current favorable investment in steel sector in Pakistan. He said a foreign Middle East based group is already installing a unit of the size of PSM at Karachi while some investors have completed their feasibility studies for establishing some units in Punjab and NWFP.
World steel production rose by 49 per cent during 2001-06 reaching 1.3 billion tons in 2007. Global steel experts predicted that the world demand for steel would grow by compound annual growth rate of 4.9 per cent during 2007-2010. The latest projections however suggest that the growth rate in 2008 would be around 6.8 per cent. High growth in India and China is said to have increased steel demand.
http://www.thenews.com.pk/daily_detail.asp?id=100745
A costly delay in fertiliser project
By Engr Hussain Ahmad Siddiqui
Fertiliser Policy 2001 was designed to encourage investment in the sector to meet the growing domestic demand of urea and other fertilisers.
The estimated demand-supply gap established the economic viability of two new fertiliser units, within the 10-year validity of the policy, or major expansion of existing plants to almost the same capacity size.
Consequently, a number of incentives were offered to the investors, including allocation of feedstock gas on priority and sales of gas at concessionary rates. Earliest timeframe for completion of these projects is the core of the policy, since the government continues to grant huge subsidies on its imports year after year. The prospective investors were therefore required to sign the Gas Sales Agreement (GSA) latest by June 30, 2005 as per the announced policy.
Under this policy, the Fatima Group of Multan proposed to establish a fertiliser project at Sanjarpur, Sadiqabad, district Rahimyar Khan. This was accepted by the government on the principle of the first-come first-served.
Subsequently, the Economic Coordination Committee (ECC) of the Cabinet on August 24, 2004, approved allocation of 75 million cubic feet per day (mmcfd) natural gas to the project to produce 1.5 million tons of nitrogenous and phosphate fertilisers annually. This approval however was granted with the condition that the project should come on stream within two years from the date of approval of gas allocation, which was committed earlier by the sponsors.
In fact, the government had dedicated Mari gas field the second largest national gas resource, for fertiliser industry to ensure a steady and reliable gas supply. Shallow reservoir of Mari gas has low thermal, or BTU (British Thermal Unit), value and is considered most suitable as feedstock for urea production. Mari gas field has total recoverable reserves of nearly eight trillion cubic feet (tcf) of natural gas and has produced about three tcf gas until June 2006.
The gas allocation of 75 mmcfd to Fatima Fertilisers, both as feedstock and as fuel, has been made through this resource. The project sponsors have signed the GSA with Mari Gas Company Ltd for sale/purchase of gas at the field-gate, on July 12, 2005.
It was only in November 2006 - more than a year after concluding the GSA - that the sponsors signed an agreement with Sui Northern Gas Pipelines Ltd (SNGPL) for the laying of pipeline from Mari gas-field to the fertiliser complex. The 47-km long high-pressure gas transmission pipeline, costing Rs250 million, is expected to be completed within 15 months.
The long delay in kicking-off the time-bound project of great national importance is not understandable when the foreign contractors were employed for construction of the fertiliser complex much earlier. Sometime in August 2005, the sponsors had announced that the project was being set up, at a cost of $300 million, in collaboration with China National Chemical Engineering Corporation. The contract was thus concluded between sponsors and the Chinese company, based on an earlier memorandum of understanding (MOU) that was signed on January 7, 2005.
The project cost however was revised to $336 million in December 2005. On these premises, Prime Minister Shaukat Aziz performed, on April 28, 2006, the groundbreaking ceremony of the project, which will be constructed on an area of 400 acres.
On the occasion, the investors indicated yet another inflated cost of the project - $475 million - without disclosing further details whatsoever. Nonetheless, there was no further progress on achieving the project implementation milestones as agreed and the project failed to take-off as scheduled.
The consortium of Fatima Group (in the name of Reliance Export) and Arif Habib Group were meanwhile declared, in May 2005, the highest bidder for purchase of state-owned Pak-Arab Fertilisers Pvt) Ltd (PFL) located at Multan. The consortium's bid of Rs14.125 billion for 52 per cent government shares of the large fertiliser complex was made in competition with industrial giants like Dawood Group, Nishat Group and Al-Ghurair of the UAE.
Nevertheless, the time limit given by the ECC for completion of Fatima Fertilizer project's completion lapsed, sometime in August 2006. Instead of revoking the gas allocation however, as recommended by the ministry of industries, production and special initiatives, it was decided by the ECC of the Cabinet, in its meeting held on August 23, 2006, to extend the deadline, without imposing any penalties on sponsors as prescribed. This time the ECC allowed the investors three months to achieve financial close and two years for project completion i.e. by August 2008.
Finally, the project has achieved financial close within the revised time-frame, having finalised the security documents package, as the ECC of the Cabinet was informed on December 27, 2006. A consortium of major local and foreign banks in Pakistan has agreed to provide Rs23 billion for the project.
Once again, the sponsors have escalated total cost of the project, revised to $587 million, which works out to be Rs35 billion in local currency. Equity for the project is Rs12 billion. The financial structure of the company has been changed recently. Fatima Fertilizers Company will now be owned 70 per cent by PFL, 15 per cent by Fatima Group and 15 per cent through public issue underwritten by PFL.
The product range of the proposed plant and the respective capacities include ammonia 1,500 tons per day (tpd), nitric acid 1,500 tpd, urea 1,500 tpd, nitrogen phosphate (NP) 1,000 tpd, nitrogenous phosphoric potassium (NPK) 1,000 tpd and calcium ammonium nitrate (CAN) 1,400 tpd.
[size="2"]It is claimed that project's first phase of achieving 1.1 million tons production annually will be completed by March 2008, whereas the plant will be fully operational to the designed capacity by August 2008, as required under the latest government directive.[/size]
The target however is far from being realistic to achieve. It has been reported that second-hand machinery has been imported for the production of CAN and NPK fertilisers, which is being reconditioned, sand blasted and painted before re-assembly and erection at site. Interestingly, the Policy allows relocation of second hand plant machinery with the same concessions and exemptions as applicable to the new fertiliser plants.
On August 10, 2006, Sojitz Corporation and Kawasaki Plant Systems Ltd have jointly confirmed receiving an order, valuing $110 million, from Fatima Fertilisers to put up a 1,500 tons daily urea production facility. Kawasaki of Japan will supply plant machinery based on state-of-the-art urea technology from Stamicarbon of Holland. Commercial operation date (COD) has been agreed between the investor and plant supplier as 42 months from the date of letter of credit.
The urea production plant will thus be operational by May-June 2010 against investors' commitment, and the government's deadline, of August 2008. In any case, the project of this magnitude and financial outlay is likely to be behind schedule due to local conditions and problems in test and trial runs - in this case Stamicarbon's advanced urea technology being introduced in Pakistan for the first time.
Given the current prices of plant machinery in international market and the fact that part machinery procured for the project is second-hand, the latest project cost seems very high.
The fertiliser industry is well established and based on advanced technology, with an investment of Rs87 billion. There are ten production units in operation, nine in private sector including those privatised recently and only one in public sector that too is in advanced stage of divestment by the government. The sector has an annual installed capacity of 5,989,000 tons of a wide variety of fertilisers.
The production of fertilisers during July 2005-May 2006 period, showed 95 per cent capacity utilisation compared to 10 per cent in previous years. And the natural gas consumed by the fertiliser industry has declined from 190,412 million cubic feet (mmcft) in 2004-05 to 148,470 mmcft in 2005-06.
The widening demand-supply gap is being met through imports of fertilisers, which were to the level of 1.7 million tons during July 2005-March 2006, which is about 50 per cent higher than that of the corresponding period of last year.
Once Fatima Fertilizers becomes operational, the Fatima Group-Arif Habib Group will emerge as one of the key players in the fertiliser industry, only second to Fauji Foundation. With a combined installed annual capacity of 2.3 million tons of fertilisers, the two joint venture companies will contribute substantially to meet total domestic demand in future.
It is imperative that the sanctity of the ECC decision is upheld this time, ensuring completion of the project on time. Further delay in commencement of production at the new plant will cost the national exchequer billions of rupees annually in terms of import subsidies only, besides resulting in project cost over-runs and belated socio-economic benefits to the nation.
http://www.dawn.com/2007/03/12/ebr7.htm
By Engr Hussain Ahmad Siddiqui
Fertiliser Policy 2001 was designed to encourage investment in the sector to meet the growing domestic demand of urea and other fertilisers.
The estimated demand-supply gap established the economic viability of two new fertiliser units, within the 10-year validity of the policy, or major expansion of existing plants to almost the same capacity size.
Consequently, a number of incentives were offered to the investors, including allocation of feedstock gas on priority and sales of gas at concessionary rates. Earliest timeframe for completion of these projects is the core of the policy, since the government continues to grant huge subsidies on its imports year after year. The prospective investors were therefore required to sign the Gas Sales Agreement (GSA) latest by June 30, 2005 as per the announced policy.
Under this policy, the Fatima Group of Multan proposed to establish a fertiliser project at Sanjarpur, Sadiqabad, district Rahimyar Khan. This was accepted by the government on the principle of the first-come first-served.
Subsequently, the Economic Coordination Committee (ECC) of the Cabinet on August 24, 2004, approved allocation of 75 million cubic feet per day (mmcfd) natural gas to the project to produce 1.5 million tons of nitrogenous and phosphate fertilisers annually. This approval however was granted with the condition that the project should come on stream within two years from the date of approval of gas allocation, which was committed earlier by the sponsors.
In fact, the government had dedicated Mari gas field the second largest national gas resource, for fertiliser industry to ensure a steady and reliable gas supply. Shallow reservoir of Mari gas has low thermal, or BTU (British Thermal Unit), value and is considered most suitable as feedstock for urea production. Mari gas field has total recoverable reserves of nearly eight trillion cubic feet (tcf) of natural gas and has produced about three tcf gas until June 2006.
The gas allocation of 75 mmcfd to Fatima Fertilisers, both as feedstock and as fuel, has been made through this resource. The project sponsors have signed the GSA with Mari Gas Company Ltd for sale/purchase of gas at the field-gate, on July 12, 2005.
It was only in November 2006 - more than a year after concluding the GSA - that the sponsors signed an agreement with Sui Northern Gas Pipelines Ltd (SNGPL) for the laying of pipeline from Mari gas-field to the fertiliser complex. The 47-km long high-pressure gas transmission pipeline, costing Rs250 million, is expected to be completed within 15 months.
The long delay in kicking-off the time-bound project of great national importance is not understandable when the foreign contractors were employed for construction of the fertiliser complex much earlier. Sometime in August 2005, the sponsors had announced that the project was being set up, at a cost of $300 million, in collaboration with China National Chemical Engineering Corporation. The contract was thus concluded between sponsors and the Chinese company, based on an earlier memorandum of understanding (MOU) that was signed on January 7, 2005.
The project cost however was revised to $336 million in December 2005. On these premises, Prime Minister Shaukat Aziz performed, on April 28, 2006, the groundbreaking ceremony of the project, which will be constructed on an area of 400 acres.
On the occasion, the investors indicated yet another inflated cost of the project - $475 million - without disclosing further details whatsoever. Nonetheless, there was no further progress on achieving the project implementation milestones as agreed and the project failed to take-off as scheduled.
The consortium of Fatima Group (in the name of Reliance Export) and Arif Habib Group were meanwhile declared, in May 2005, the highest bidder for purchase of state-owned Pak-Arab Fertilisers Pvt) Ltd (PFL) located at Multan. The consortium's bid of Rs14.125 billion for 52 per cent government shares of the large fertiliser complex was made in competition with industrial giants like Dawood Group, Nishat Group and Al-Ghurair of the UAE.
Nevertheless, the time limit given by the ECC for completion of Fatima Fertilizer project's completion lapsed, sometime in August 2006. Instead of revoking the gas allocation however, as recommended by the ministry of industries, production and special initiatives, it was decided by the ECC of the Cabinet, in its meeting held on August 23, 2006, to extend the deadline, without imposing any penalties on sponsors as prescribed. This time the ECC allowed the investors three months to achieve financial close and two years for project completion i.e. by August 2008.
Finally, the project has achieved financial close within the revised time-frame, having finalised the security documents package, as the ECC of the Cabinet was informed on December 27, 2006. A consortium of major local and foreign banks in Pakistan has agreed to provide Rs23 billion for the project.
Once again, the sponsors have escalated total cost of the project, revised to $587 million, which works out to be Rs35 billion in local currency. Equity for the project is Rs12 billion. The financial structure of the company has been changed recently. Fatima Fertilizers Company will now be owned 70 per cent by PFL, 15 per cent by Fatima Group and 15 per cent through public issue underwritten by PFL.
The product range of the proposed plant and the respective capacities include ammonia 1,500 tons per day (tpd), nitric acid 1,500 tpd, urea 1,500 tpd, nitrogen phosphate (NP) 1,000 tpd, nitrogenous phosphoric potassium (NPK) 1,000 tpd and calcium ammonium nitrate (CAN) 1,400 tpd.
[size="2"]It is claimed that project's first phase of achieving 1.1 million tons production annually will be completed by March 2008, whereas the plant will be fully operational to the designed capacity by August 2008, as required under the latest government directive.[/size]
The target however is far from being realistic to achieve. It has been reported that second-hand machinery has been imported for the production of CAN and NPK fertilisers, which is being reconditioned, sand blasted and painted before re-assembly and erection at site. Interestingly, the Policy allows relocation of second hand plant machinery with the same concessions and exemptions as applicable to the new fertiliser plants.
On August 10, 2006, Sojitz Corporation and Kawasaki Plant Systems Ltd have jointly confirmed receiving an order, valuing $110 million, from Fatima Fertilisers to put up a 1,500 tons daily urea production facility. Kawasaki of Japan will supply plant machinery based on state-of-the-art urea technology from Stamicarbon of Holland. Commercial operation date (COD) has been agreed between the investor and plant supplier as 42 months from the date of letter of credit.
The urea production plant will thus be operational by May-June 2010 against investors' commitment, and the government's deadline, of August 2008. In any case, the project of this magnitude and financial outlay is likely to be behind schedule due to local conditions and problems in test and trial runs - in this case Stamicarbon's advanced urea technology being introduced in Pakistan for the first time.
Given the current prices of plant machinery in international market and the fact that part machinery procured for the project is second-hand, the latest project cost seems very high.
The fertiliser industry is well established and based on advanced technology, with an investment of Rs87 billion. There are ten production units in operation, nine in private sector including those privatised recently and only one in public sector that too is in advanced stage of divestment by the government. The sector has an annual installed capacity of 5,989,000 tons of a wide variety of fertilisers.
The production of fertilisers during July 2005-May 2006 period, showed 95 per cent capacity utilisation compared to 10 per cent in previous years. And the natural gas consumed by the fertiliser industry has declined from 190,412 million cubic feet (mmcft) in 2004-05 to 148,470 mmcft in 2005-06.
The widening demand-supply gap is being met through imports of fertilisers, which were to the level of 1.7 million tons during July 2005-March 2006, which is about 50 per cent higher than that of the corresponding period of last year.
Once Fatima Fertilizers becomes operational, the Fatima Group-Arif Habib Group will emerge as one of the key players in the fertiliser industry, only second to Fauji Foundation. With a combined installed annual capacity of 2.3 million tons of fertilisers, the two joint venture companies will contribute substantially to meet total domestic demand in future.
It is imperative that the sanctity of the ECC decision is upheld this time, ensuring completion of the project on time. Further delay in commencement of production at the new plant will cost the national exchequer billions of rupees annually in terms of import subsidies only, besides resulting in project cost over-runs and belated socio-economic benefits to the nation.
http://www.dawn.com/2007/03/12/ebr7.htm
AGI in negotiations to buy Pakistan State Oil Company
Be the first to on this article & 22 January 2008 Dubai: Al Ghurair Investment (AGI) is in talks with Pakistan's state-owned Pakistan State Oil Co (more)
& Be the first to on this article & 22 January 2008 Dubai: Al Ghurair Investment (AGI) is in talks with Pakistan's state-owned Pakistan State Oil Company, which, with 3,400 petrol pumps, controls about 70 per cent of the market, a senior official said. "We are in talks to acquire the Pakistan State Oil Company which has a network of 3,400 petrol pumps across the country," Zahid Muzaffar, chief executive of Trans Asia Gas, a subsidiary of AGI, told Gulf News yesterday. "We have been shortlisted twice for the final bids, which could start any time," he said. Winning the bids, which is expected to take place soon after the elections next month, could give the Dubai-based energy firm a solid foothold in South Asia's growing market. AGI, is investing a total of Dh11 billion in three refineries in Libya, Pakistan and Sri Lanka, a top official said. Refinery "We have just concluded a joint venture framework agreement with National Oil Corporation (NOC) to set up at Ras Lanuf with a refining capacity of 220,000 barrels per day," Eisa Abdullah Al Ghurair, vice-chairman of AGI told Gulf News. "The project, a 50:50 joint venture with NOC a government owned company will require an investment of $2 billion [Dh7.3 billion] in the next few years." The company currently has two refinery projects taking shape in South Asia. One of them is a 100,000 bpd refinery to be located at Port Qasim in Pakistan. "We are relocating an existing refinery from Naples in Italy to Pakistan. The project is currently in the construction phase and is expected to be commissioned in early 2010. The total cost is expected to be in excess of Dh2.2 billion," Al Ghurair said. Hameed Salahuddin, director of ETA Star Holding, said, his company is looking for more opportunities in the downstream petrochemicals sector.
http://www.islamonline.com/news/newsfull.php?newid=81444
Be the first to on this article & 22 January 2008 Dubai: Al Ghurair Investment (AGI) is in talks with Pakistan's state-owned Pakistan State Oil Co (more)
& Be the first to on this article & 22 January 2008 Dubai: Al Ghurair Investment (AGI) is in talks with Pakistan's state-owned Pakistan State Oil Company, which, with 3,400 petrol pumps, controls about 70 per cent of the market, a senior official said. "We are in talks to acquire the Pakistan State Oil Company which has a network of 3,400 petrol pumps across the country," Zahid Muzaffar, chief executive of Trans Asia Gas, a subsidiary of AGI, told Gulf News yesterday. "We have been shortlisted twice for the final bids, which could start any time," he said. Winning the bids, which is expected to take place soon after the elections next month, could give the Dubai-based energy firm a solid foothold in South Asia's growing market. AGI, is investing a total of Dh11 billion in three refineries in Libya, Pakistan and Sri Lanka, a top official said. Refinery "We have just concluded a joint venture framework agreement with National Oil Corporation (NOC) to set up at Ras Lanuf with a refining capacity of 220,000 barrels per day," Eisa Abdullah Al Ghurair, vice-chairman of AGI told Gulf News. "The project, a 50:50 joint venture with NOC a government owned company will require an investment of $2 billion [Dh7.3 billion] in the next few years." The company currently has two refinery projects taking shape in South Asia. One of them is a 100,000 bpd refinery to be located at Port Qasim in Pakistan. "We are relocating an existing refinery from Naples in Italy to Pakistan. The project is currently in the construction phase and is expected to be commissioned in early 2010. The total cost is expected to be in excess of Dh2.2 billion," Al Ghurair said. Hameed Salahuddin, director of ETA Star Holding, said, his company is looking for more opportunities in the downstream petrochemicals sector.
http://www.islamonline.com/news/newsfull.php?newid=81444
Just posting these links to accumulate the work in oil refining area in Pakistan
Indus refinery construction to begin next month
By Shakir Husain, Staff Reporter
Published: April 06, 2007, 00:00
Dubai: Construction of a new $750 million privately owned Pakistan refinery will begin next month, the company that owns the project said.
When commissioned in the first quarter of 2009, Indus Refinery will increase Pakistan's 12.77 million tonne annual petroleum refining capacity by 35 per cent.
"Total investment is in the order of $750 million," Indus Refinery Limited chief operating officer Eric Fore told Gulf News.
Apart from the main refining plant, the project cost will cover the building of a 21 kilometre oil pipe-line, terminal, tank farm and a wastewater treatment plant.
The 126,000 barrel per day refinery, located near Karachi's Port Qasim, is 80 per cent owned by PSI Energy Holding Company owned by British entrepreneur Ryan Cornelius. A number of Pakistani investors hold minority stakes.
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
The main processing unit for Indus is being relocated from Canada, Fore said, adding that this has reduced the overall development cost compared to building a completely new plant.
"The refinery has undergone significant design improvements and modifications. The changes were required to maximise middle distillate production," he said.
Low sulphur diesel, unleaded gasoline and jet fuel are among the products that the refinery will produce.
"Civil works will begin in May and commissioning will be in the first quarter of 2009," Fore said.
He said Pakistan's refined products consumption was 15.8 million tonnes last year and the 4.5-million-tonne Indus refinery will "significantly reduce the deficit" of fuels.
Pakistan's Prime Minister Shaukat Aziz recently said the government was in the process of finalising a refinery project with Abu Dhabi.
It will be a 200,000 barrels per day refinery at Khalifa Point in the Hub district of Balochistan province.
http://archive.gulfnews.com/articles/07/04/06/10116221.html
Indus refinery construction to begin next month
By Shakir Husain, Staff Reporter
Published: April 06, 2007, 00:00
Dubai: Construction of a new $750 million privately owned Pakistan refinery will begin next month, the company that owns the project said.
When commissioned in the first quarter of 2009, Indus Refinery will increase Pakistan's 12.77 million tonne annual petroleum refining capacity by 35 per cent.
"Total investment is in the order of $750 million," Indus Refinery Limited chief operating officer Eric Fore told Gulf News.
Apart from the main refining plant, the project cost will cover the building of a 21 kilometre oil pipe-line, terminal, tank farm and a wastewater treatment plant.
The 126,000 barrel per day refinery, located near Karachi's Port Qasim, is 80 per cent owned by PSI Energy Holding Company owned by British entrepreneur Ryan Cornelius. A number of Pakistani investors hold minority stakes.
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
The main processing unit for Indus is being relocated from Canada, Fore said, adding that this has reduced the overall development cost compared to building a completely new plant.
"The refinery has undergone significant design improvements and modifications. The changes were required to maximise middle distillate production," he said.
Low sulphur diesel, unleaded gasoline and jet fuel are among the products that the refinery will produce.
"Civil works will begin in May and commissioning will be in the first quarter of 2009," Fore said.
He said Pakistan's refined products consumption was 15.8 million tonnes last year and the 4.5-million-tonne Indus refinery will "significantly reduce the deficit" of fuels.
Pakistan's Prime Minister Shaukat Aziz recently said the government was in the process of finalising a refinery project with Abu Dhabi.
It will be a 200,000 barrels per day refinery at Khalifa Point in the Hub district of Balochistan province.
http://archive.gulfnews.com/articles/07/04/06/10116221.html
Pak Arab Refinery Limited
Last updated: 2006-12-27
A National Organization with an international presence
INTRODUCTION
Incorporated in Pakistan in May 1974, as a Public Limited Company, Pak-Arab Refinery Limited (PARCO) is a 60:40 joint venture between the Governments of Pakistan (GOP) and Abu Dhabi, having paid-up capital of Rs.11.6 billion and total equity of Rs.37.2 billion. PARCO s Board is made up of six GOP Directors including the Chairman and the Managing Director and four Abu Dhabi Directors representing Abu Dhabi Petroleum Investment Company L.L.C (ADPI).
It was the first company to be rated AAA by PACRA in the country and the only one that continues to command that creditworthiness for an unprecedented ninth year running.
The company obtained three simultaneous international certifications: ISO 9001:2000 (Quality Management System), ISO 14001:2004 (Environmental Management System) and OHSAS 18001:1999 (Occupational Health and Safety Management System) for its Mid-Country Refinery. Within few months the same achievement was made by its Pipeline Division.
PARCO as an energy company is a key player in the country s strategic oil supply and its logistics. With the synergy of a comprehensive and expanding oil pipeline network, integrated with a significant and modern refining capability, PARCO has emerged as the strategic fuel supplier to the country. PARCO s competitive advantages through the integration of pipeline operation, strategic storage, leading edge refining and a significant role in marketing of petroleum products, have enabled it to achieve a unique position in the energy supply chain.
CHARTER
The company s existence demands it to be an integrated energy supplier by way of inter-related functions such as refining, transportation, storage, marketing of oil products etc. In doing so, it will establish its credibility and assume the role of an industry leader.
STRATEGIES
We leverage with existing expertise & resources and look for external assistance through joint venture agreements, partnerships etc., whenever and wherever we need them.
We strive to possess, maintain and augment our knowledge and technical skills to understand the key elements of the business, to strategically expand its volume and grow company s asset base.
In our partnerships, we uphold and honour the spirit of our agreements and not just the written word, that is, we operate in good faith and hope that our partners do likewise unto us.
We believe that our accomplishments are the total product of every individual s efforts; hence there is an emphasis on fair hiring and selection, recognition of employee efforts, training and human resource development and competitive compensation. Our most important resource is dedicated people who contribute their efforts to ensure that excellence prevails throughout the company.
PARCO S MID COUNTRY REFINERY
PARCO s 100,000 BPD, state-of-the-art Mid-Country Refinery at Mahmood Kot, completed at a cost of US$ 886 million, represents more than 40% of the indigenous refining capacity of the country. It helps substitute imports of refined value added oil products to the tune of US$ 100 million per year
Introduction of Unleaded Fuel:
InPakistan, PARCO pioneered the successful introduction of 87 octane unleaded motor gasoline in June 2001, whose quality has been enhanced to 90 octane since March 2003. PARCO was also able to successfully export unleaded 90 octane gasoline since it met all international standards.
PARCO is therefore privileged to be able to contribute to a much healthier environment. It has also achieved Environment Excellence Award 2006 from National Forum for Environment & Health, an NGO working under the auspices of Ministry of Environment and UNEP.
MARKETING INITIATEVS
TOTAL PARCO PAKISTAN LTD (TPPL), a joint venture of PARCO and TOTAL S.A. of France, is marketing consumer petroleum products through a rapidly expanding national network of retail outlets.
Under a Technical Services and Support Agreement, SHV of Holland is marketing 25% of PARCO s LPG production as PEARL Gas . In addition to marketing OMV Austria s lubricants under the brand name of PEARL Lubes , PARCO is also locally producing lubricants in multiple grades of engine and hydraulic oils.
AN EXPANDING STRATEGIC PIPELINES NETWORK
PARCO s cross-country network of pipelines includes highly sophisticated telecommunication facilities and a comprehensive Supervisory Control And Data Acquisition (SCADA) System. The network runs over 2000 kilometers made up of following pipelines.
864-km Karachi Mahmood Kot pipeline KMK
360-km Mahmood Kot- Faisalabad Machhike pipeline MFM
817-km Karachi - Mahmood Kot White Oil Pipeline WOP
22-km Korangi-Port Qasim Link Pipeline - KPLP
FUTURE PROJECTS
Pipeline Extension Projects: These projects are envisaged to ensure supply of products to the NWFP and some more areas in the northern Punjab.
190-km Faisalabad Kharian Pipeline costing US$ 100 million
90-km Faisalabad Sahiwal Pipeline costing US$ 50 million
430-km Mahmood Kot Peshawar Pipeline costing US$ 185 million
Hydro Desulphurization Project PARCO introduced environment friendly 90 Octane fuel in Pakistan. Now it further aims to make environment even cleaner by reducing sulphur content from refined diesel and meet the revised country specifications for sulphur contents. To achieve this objective, PARCO would soon be installing a US$ 132 million Hydro Desulphurization Plant at its Mid-Country Refinery at Mahmood Kot near Multan and is expected to be commissioned in 2009.
Asphalt Production Plant The plant is expected to increase Mid-Country Refinery s throughput which gets decreased due to seasonal patterns in the demand for furnace oil. On the other hand, the plant will help meet the increasing demand for asphalt in the country.
Khalifa Coastal Refinery project This gigantic project is expected to fetch a foreign investment of more than US$ 4 billion from Abu Dhabi s International Petroleum Investment Co. (IPIC). PARCO will build and operate it. IPIC and Associated UAE Investors will assume a combined 74 percent stake in KCR, while PARCO will hold the remaining 26 percent stake. The refinery is expected to have a processing capacity of 200,000 to 300,000 tons of crude oil. The refinery will be built at the Khalifa Point about 50 kilometers west of Karachi on the coastline and 25 kilometers southwest of the industrial town of Hub. The project will be employing 800 to 1,000 professionals directly and benefit another 2,000 families indirectly.
http://www.pakistan.gov.pk/divisions/Conte...;ContentID=4168
MoU signed for 5 Billion oil refinery at Khalifa Point
Tuesday, 13 November 2007
ISLAMABAD: The governments of Pakistan and the UAE on Tuesday signed a Memorandum of Understanding (MoU) worth $5 billion for establishment of an oil refinery at Khalifa Point in the coastal area near Hub Balochistan.
The MoU was signed in presence of the Prime Minister Shaukat Aziz, Secretary of Petroleum and Natural Resources Farrukh Qayyum and Managing Director of International Petroleum Investment Company (IPIC) signed the implementation agreement of Khalifa Coastal Refinery.
According to the agreement the IPIC of Abu Dhabi and Pak Arab Refinery Limited (PARCO) would jointly set up 200,000-300,000 barrels per day refinery. Initial equity of the PARCO would be 26 percent while 74 percent equity would be shared by the IPIC.
Before signing of the MoU, the UAE delegation, headed by Mohammad Bin Dhalen Al- Hamili, Minister for Energy UAE meet with the Prime Minister Shaukat Aziz at Prime Minister’s House here. The prime minister had termed the agreement was an historic in the history of Pakistan where the government was receiving the biggest ever Foreign Direct Investment (FDI) of $5 billion for the establishment of an oil refinery. The signing of MoU between the governments of Pakistan and United Arab Emirates (UAE) for the establishment of the refinery reflects confidence of foreign investors over the investment friendly policies of the government, he added.
The Prime Minister said that the reforms agenda and macro-economic policies of Pakistan are based on liberalization, deregulation, privatization and transparency of governance. These policies have made Pakistan an ideal country for investments and today’s singing of the MoU for establishment of oil refinery worth $5 billion speaks for itself of those policies.
While highlighting the close eternal ties between Pakistan and the UAE, the Prime Minister said that the relations between the two countries are based on shared faith, history and commonality of views and Pakistan always feels proud of its friendship with the UAE.
Saukat Aziz said that the signing of MoU was a symbol of friendship between the two countries. This refinery would not only fulfill the domestic needs but also cater to the international demand. IT would help in creating new jobs and also fill the gap of energy demand.
Mohammad Bin Dhalen Al-Hamili appreciated the government of Pakistan’s reform agenda and economic policies, which had led Pakistan to become a destination of choice for investments. He said that the relations between the two countries were time tested and would further grow in future. He said that this was the biggest ever investment made by the UAE government and expressed confidence that the UAE would invest more in Pakistan in future. The meeting was further informed that upon completion of the project, Khalifa Point area would be developed in a new city with all civic amenities and related infrastructure. The development of port infrastructure in the form of Single Point Mooring at Khalifa Point would handle additional petroleum products in the country and would provide 1.4 million tons of additional POL storage capacity. This project would generate employment for 10,000 people during construction phase and direct employment for 1,000 persons and indirect for more than 3,000 during operational phase.
The meeting and the signing ceremony was also attended by the minister for Petroleum & Natural Resources Amanullah Khan Jadoon, Advisor to Prime Minister on Finance Dr. Salman Shah, Minister of State for Petroleum & Natural Resources Mir Mohammad Nasir Mengal, Ambassador of UAE in Pakistan Ali Mohammad Bin Hammad Al Shamsi and Pakistan Ambassador in UAE Ehsanullah Khan and other high officials of the two sides.
The Prime Minister told the delegation that the size of the economy has doubled and GDP was growing at an average of 6-8% per annum thus reducing poverty, increasing per capita income to $1000, generating more employment opportunities and improving the standard of living of the people resulting in growing middle class in the country.
While referring to the demographic situation of Pakistan, the prime minister said that out of a total population of 160 million people, 100 million were below the age of 25 and by imparting them with necessary job skills, this would be an asset for the country and it would be a great attraction for the foreign investors. He said this year alone 100,000 people had been trained in different disciplines through National Vocational and Technical Education Commission to contribute towards the development of national economy.
http://www.uniquepakistan.com/news/economy...t-20071113.html
Last updated: 2006-12-27
A National Organization with an international presence
INTRODUCTION
Incorporated in Pakistan in May 1974, as a Public Limited Company, Pak-Arab Refinery Limited (PARCO) is a 60:40 joint venture between the Governments of Pakistan (GOP) and Abu Dhabi, having paid-up capital of Rs.11.6 billion and total equity of Rs.37.2 billion. PARCO s Board is made up of six GOP Directors including the Chairman and the Managing Director and four Abu Dhabi Directors representing Abu Dhabi Petroleum Investment Company L.L.C (ADPI).
It was the first company to be rated AAA by PACRA in the country and the only one that continues to command that creditworthiness for an unprecedented ninth year running.
The company obtained three simultaneous international certifications: ISO 9001:2000 (Quality Management System), ISO 14001:2004 (Environmental Management System) and OHSAS 18001:1999 (Occupational Health and Safety Management System) for its Mid-Country Refinery. Within few months the same achievement was made by its Pipeline Division.
PARCO as an energy company is a key player in the country s strategic oil supply and its logistics. With the synergy of a comprehensive and expanding oil pipeline network, integrated with a significant and modern refining capability, PARCO has emerged as the strategic fuel supplier to the country. PARCO s competitive advantages through the integration of pipeline operation, strategic storage, leading edge refining and a significant role in marketing of petroleum products, have enabled it to achieve a unique position in the energy supply chain.
CHARTER
The company s existence demands it to be an integrated energy supplier by way of inter-related functions such as refining, transportation, storage, marketing of oil products etc. In doing so, it will establish its credibility and assume the role of an industry leader.
STRATEGIES
We leverage with existing expertise & resources and look for external assistance through joint venture agreements, partnerships etc., whenever and wherever we need them.
We strive to possess, maintain and augment our knowledge and technical skills to understand the key elements of the business, to strategically expand its volume and grow company s asset base.
In our partnerships, we uphold and honour the spirit of our agreements and not just the written word, that is, we operate in good faith and hope that our partners do likewise unto us.
We believe that our accomplishments are the total product of every individual s efforts; hence there is an emphasis on fair hiring and selection, recognition of employee efforts, training and human resource development and competitive compensation. Our most important resource is dedicated people who contribute their efforts to ensure that excellence prevails throughout the company.
PARCO S MID COUNTRY REFINERY
PARCO s 100,000 BPD, state-of-the-art Mid-Country Refinery at Mahmood Kot, completed at a cost of US$ 886 million, represents more than 40% of the indigenous refining capacity of the country. It helps substitute imports of refined value added oil products to the tune of US$ 100 million per year
Introduction of Unleaded Fuel:
InPakistan, PARCO pioneered the successful introduction of 87 octane unleaded motor gasoline in June 2001, whose quality has been enhanced to 90 octane since March 2003. PARCO was also able to successfully export unleaded 90 octane gasoline since it met all international standards.
PARCO is therefore privileged to be able to contribute to a much healthier environment. It has also achieved Environment Excellence Award 2006 from National Forum for Environment & Health, an NGO working under the auspices of Ministry of Environment and UNEP.
MARKETING INITIATEVS
TOTAL PARCO PAKISTAN LTD (TPPL), a joint venture of PARCO and TOTAL S.A. of France, is marketing consumer petroleum products through a rapidly expanding national network of retail outlets.
Under a Technical Services and Support Agreement, SHV of Holland is marketing 25% of PARCO s LPG production as PEARL Gas . In addition to marketing OMV Austria s lubricants under the brand name of PEARL Lubes , PARCO is also locally producing lubricants in multiple grades of engine and hydraulic oils.
AN EXPANDING STRATEGIC PIPELINES NETWORK
PARCO s cross-country network of pipelines includes highly sophisticated telecommunication facilities and a comprehensive Supervisory Control And Data Acquisition (SCADA) System. The network runs over 2000 kilometers made up of following pipelines.
864-km Karachi Mahmood Kot pipeline KMK
360-km Mahmood Kot- Faisalabad Machhike pipeline MFM
817-km Karachi - Mahmood Kot White Oil Pipeline WOP
22-km Korangi-Port Qasim Link Pipeline - KPLP
FUTURE PROJECTS
Pipeline Extension Projects: These projects are envisaged to ensure supply of products to the NWFP and some more areas in the northern Punjab.
190-km Faisalabad Kharian Pipeline costing US$ 100 million
90-km Faisalabad Sahiwal Pipeline costing US$ 50 million
430-km Mahmood Kot Peshawar Pipeline costing US$ 185 million
Hydro Desulphurization Project PARCO introduced environment friendly 90 Octane fuel in Pakistan. Now it further aims to make environment even cleaner by reducing sulphur content from refined diesel and meet the revised country specifications for sulphur contents. To achieve this objective, PARCO would soon be installing a US$ 132 million Hydro Desulphurization Plant at its Mid-Country Refinery at Mahmood Kot near Multan and is expected to be commissioned in 2009.
Asphalt Production Plant The plant is expected to increase Mid-Country Refinery s throughput which gets decreased due to seasonal patterns in the demand for furnace oil. On the other hand, the plant will help meet the increasing demand for asphalt in the country.
Khalifa Coastal Refinery project This gigantic project is expected to fetch a foreign investment of more than US$ 4 billion from Abu Dhabi s International Petroleum Investment Co. (IPIC). PARCO will build and operate it. IPIC and Associated UAE Investors will assume a combined 74 percent stake in KCR, while PARCO will hold the remaining 26 percent stake. The refinery is expected to have a processing capacity of 200,000 to 300,000 tons of crude oil. The refinery will be built at the Khalifa Point about 50 kilometers west of Karachi on the coastline and 25 kilometers southwest of the industrial town of Hub. The project will be employing 800 to 1,000 professionals directly and benefit another 2,000 families indirectly.
http://www.pakistan.gov.pk/divisions/Conte...;ContentID=4168
MoU signed for 5 Billion oil refinery at Khalifa Point
Tuesday, 13 November 2007
ISLAMABAD: The governments of Pakistan and the UAE on Tuesday signed a Memorandum of Understanding (MoU) worth $5 billion for establishment of an oil refinery at Khalifa Point in the coastal area near Hub Balochistan.
The MoU was signed in presence of the Prime Minister Shaukat Aziz, Secretary of Petroleum and Natural Resources Farrukh Qayyum and Managing Director of International Petroleum Investment Company (IPIC) signed the implementation agreement of Khalifa Coastal Refinery.
According to the agreement the IPIC of Abu Dhabi and Pak Arab Refinery Limited (PARCO) would jointly set up 200,000-300,000 barrels per day refinery. Initial equity of the PARCO would be 26 percent while 74 percent equity would be shared by the IPIC.
Before signing of the MoU, the UAE delegation, headed by Mohammad Bin Dhalen Al- Hamili, Minister for Energy UAE meet with the Prime Minister Shaukat Aziz at Prime Minister’s House here. The prime minister had termed the agreement was an historic in the history of Pakistan where the government was receiving the biggest ever Foreign Direct Investment (FDI) of $5 billion for the establishment of an oil refinery. The signing of MoU between the governments of Pakistan and United Arab Emirates (UAE) for the establishment of the refinery reflects confidence of foreign investors over the investment friendly policies of the government, he added.
The Prime Minister said that the reforms agenda and macro-economic policies of Pakistan are based on liberalization, deregulation, privatization and transparency of governance. These policies have made Pakistan an ideal country for investments and today’s singing of the MoU for establishment of oil refinery worth $5 billion speaks for itself of those policies.
While highlighting the close eternal ties between Pakistan and the UAE, the Prime Minister said that the relations between the two countries are based on shared faith, history and commonality of views and Pakistan always feels proud of its friendship with the UAE.
Saukat Aziz said that the signing of MoU was a symbol of friendship between the two countries. This refinery would not only fulfill the domestic needs but also cater to the international demand. IT would help in creating new jobs and also fill the gap of energy demand.
Mohammad Bin Dhalen Al-Hamili appreciated the government of Pakistan’s reform agenda and economic policies, which had led Pakistan to become a destination of choice for investments. He said that the relations between the two countries were time tested and would further grow in future. He said that this was the biggest ever investment made by the UAE government and expressed confidence that the UAE would invest more in Pakistan in future. The meeting was further informed that upon completion of the project, Khalifa Point area would be developed in a new city with all civic amenities and related infrastructure. The development of port infrastructure in the form of Single Point Mooring at Khalifa Point would handle additional petroleum products in the country and would provide 1.4 million tons of additional POL storage capacity. This project would generate employment for 10,000 people during construction phase and direct employment for 1,000 persons and indirect for more than 3,000 during operational phase.
The meeting and the signing ceremony was also attended by the minister for Petroleum & Natural Resources Amanullah Khan Jadoon, Advisor to Prime Minister on Finance Dr. Salman Shah, Minister of State for Petroleum & Natural Resources Mir Mohammad Nasir Mengal, Ambassador of UAE in Pakistan Ali Mohammad Bin Hammad Al Shamsi and Pakistan Ambassador in UAE Ehsanullah Khan and other high officials of the two sides.
The Prime Minister told the delegation that the size of the economy has doubled and GDP was growing at an average of 6-8% per annum thus reducing poverty, increasing per capita income to $1000, generating more employment opportunities and improving the standard of living of the people resulting in growing middle class in the country.
While referring to the demographic situation of Pakistan, the prime minister said that out of a total population of 160 million people, 100 million were below the age of 25 and by imparting them with necessary job skills, this would be an asset for the country and it would be a great attraction for the foreign investors. He said this year alone 100,000 people had been trained in different disciplines through National Vocational and Technical Education Commission to contribute towards the development of national economy.
http://www.uniquepakistan.com/news/economy...t-20071113.html
Italian CNG kit maker to boost production
Friday, March 14, 2008
By our correspondent
KARACHI: Landirenzo, the leading Italian CNG auto-kit manufacturer, plans to increase its production in Pakistan, CEO of the Landi Renzo Group, Stefano Landi told a press conference here on Thursday.
Production of the kits from LR Pak, the Pakistani subsidiary of the group, will be increased in the next few years from the current 10,000 per month, he added. “Pakistan is one of our major markets,” he said, adding that their increasing sale here was one of the main contributors to the company’s growth.
Out of the total revenue of 164 million euros the company generated in 2007, 30 million euros came from Pakistan. LR Pak Director Francesco Grillo expressed hope that the business won’t be affected if CNG price increased. “Prices of petrol and diesel are not reliable and CNG will always remain relatively cheaper,” he added.
He said that the company has already exported 1,200 CNG kits to China from its assembling plant in Pakistan and more orders were in the pipeline. Landirenzo is also interested in manufacturing LPG kits for cars, provided that auto-gas stations are established, he added. It sold most of the kits to auto-assemblers.
http://www.thenews.com.pk/daily_detail.asp?id=101144
Friday, March 14, 2008
By our correspondent
KARACHI: Landirenzo, the leading Italian CNG auto-kit manufacturer, plans to increase its production in Pakistan, CEO of the Landi Renzo Group, Stefano Landi told a press conference here on Thursday.
Production of the kits from LR Pak, the Pakistani subsidiary of the group, will be increased in the next few years from the current 10,000 per month, he added. “Pakistan is one of our major markets,” he said, adding that their increasing sale here was one of the main contributors to the company’s growth.
Out of the total revenue of 164 million euros the company generated in 2007, 30 million euros came from Pakistan. LR Pak Director Francesco Grillo expressed hope that the business won’t be affected if CNG price increased. “Prices of petrol and diesel are not reliable and CNG will always remain relatively cheaper,” he added.
He said that the company has already exported 1,200 CNG kits to China from its assembling plant in Pakistan and more orders were in the pipeline. Landirenzo is also interested in manufacturing LPG kits for cars, provided that auto-gas stations are established, he added. It sold most of the kits to auto-assemblers.
http://www.thenews.com.pk/daily_detail.asp?id=101144
Furnace casters demand uninterrupted power supply
Say mild bar prices shooting up due to rising cost of production and raw materials
Thursday, March 27, 2008
By M Farhan Zaheer
KARACHI: Furnace casting mills have demanded the government to provide uninterrupted electricity. Furnace casters expressed serious reservations on exorbitant rates for an unreliable source of power.
The soaring cost of raw materials including coal, iron ore and scrap for smelting were already a burden and high cost of electricity was making the business of furnace casting and rolling mills unviable.
The rising prices of scrap and electricity are hitting furnace and rolling mills hard but worst affected are the end users because mills pass on the price burden to consumers, said Shahab Ahmed of Amaan Steel, Furnace Casting and Rolling Mills.
Recycling of steel is done not only through furnace casting but also through gas and other methods, he said. “Furnace casting mills need uninterrupted electricity to run Electric Arc Furnaces; this is why a power breakdown of 4 consecutive hours proves to be an 8 hours breakdown for us as the Electric Arc Furnace needs 4 hours to heat up and work,” he explained.
“Electricity happens to be one of the most important raw-materials of furnace casting mill,” he asserted. “The rising prices of scrap and electricity have been building up pressure on our industry,” an owner of furnace casting mill said.
“Obviously, if we purchase costly raw materials like scrap and power we would pass on this to end consumer and resultantly the end products prices will shoot up. Manufacturers of mild bars are not increasing prices the cost of raw material is going up,” he elaborated.
Electric arc furnaces are a common method of reprocessing scrap metal to create new steel, and this process does not need much electricity. They can also be used for converting ###### iron to steel.
Ship breaking used to be a vital source of scrap for processing steel. However, the prices of ships have also increased with demand for iron and steel. Average age of a cargo ship is around 21 years that can be extended to 25 years after which the vessel is scraped. These days due to the high profits and high freight rates shipping companies are extending the working period of their vessels to even more than 25 years.
There is a shortage of ships going to breaking yards, which is automatically increasing ships demand in international market, said a senior ship breaker who is also a co-owner in furnace casting steel mill that produces steel by melting scrap.
He added that rising scrap prices was forcing the prices of steel products in country to shoot up which cannot be contained by furnace casting mills themselves. Tuwairqi Steel Mills a subsidiary of Al-Tuwairqi Group is interested in making billets used in making mild bars through 80 per cent of imported Direct-reduced iron (DRI), a vital constituent of the steel industry with 20 per cent of scrap. The major problem that the steel manufacturers face is the rising cost of production including electricity which is discouraging investors, said Zaigham Adil Rizvi, Director Projects.
Pakistan’s current steel demand is around 5 million tonnes per year and we produce only 3 million tonnes so the remaining gap of 2 million tonnes steel is being imported in the country, he added.
Rising international steel prices have put immense pressure on the economies of developing world especially India and Pakistan where mounting steel demand overshadows the efforts of increasing steel production.
There has been a great surge in international steel prices during last couple of months and this has certainly changed the local steel market scenario of the country. Mild bars (sarya) prices have reached Rs80,000 per tonne from Rs65,000 per tonne in just one week. Sarya is the second most important construction input after cement. Price hike of sarya would in turn increase the construction cost making it very difficult for lower and middle-income groups to start building their homes.
http://www.thenews.com.pk/daily_detail.asp?id=103198
Say mild bar prices shooting up due to rising cost of production and raw materials
Thursday, March 27, 2008
By M Farhan Zaheer
KARACHI: Furnace casting mills have demanded the government to provide uninterrupted electricity. Furnace casters expressed serious reservations on exorbitant rates for an unreliable source of power.
The soaring cost of raw materials including coal, iron ore and scrap for smelting were already a burden and high cost of electricity was making the business of furnace casting and rolling mills unviable.
The rising prices of scrap and electricity are hitting furnace and rolling mills hard but worst affected are the end users because mills pass on the price burden to consumers, said Shahab Ahmed of Amaan Steel, Furnace Casting and Rolling Mills.
Recycling of steel is done not only through furnace casting but also through gas and other methods, he said. “Furnace casting mills need uninterrupted electricity to run Electric Arc Furnaces; this is why a power breakdown of 4 consecutive hours proves to be an 8 hours breakdown for us as the Electric Arc Furnace needs 4 hours to heat up and work,” he explained.
“Electricity happens to be one of the most important raw-materials of furnace casting mill,” he asserted. “The rising prices of scrap and electricity have been building up pressure on our industry,” an owner of furnace casting mill said.
“Obviously, if we purchase costly raw materials like scrap and power we would pass on this to end consumer and resultantly the end products prices will shoot up. Manufacturers of mild bars are not increasing prices the cost of raw material is going up,” he elaborated.
Electric arc furnaces are a common method of reprocessing scrap metal to create new steel, and this process does not need much electricity. They can also be used for converting ###### iron to steel.
Ship breaking used to be a vital source of scrap for processing steel. However, the prices of ships have also increased with demand for iron and steel. Average age of a cargo ship is around 21 years that can be extended to 25 years after which the vessel is scraped. These days due to the high profits and high freight rates shipping companies are extending the working period of their vessels to even more than 25 years.
There is a shortage of ships going to breaking yards, which is automatically increasing ships demand in international market, said a senior ship breaker who is also a co-owner in furnace casting steel mill that produces steel by melting scrap.
He added that rising scrap prices was forcing the prices of steel products in country to shoot up which cannot be contained by furnace casting mills themselves. Tuwairqi Steel Mills a subsidiary of Al-Tuwairqi Group is interested in making billets used in making mild bars through 80 per cent of imported Direct-reduced iron (DRI), a vital constituent of the steel industry with 20 per cent of scrap. The major problem that the steel manufacturers face is the rising cost of production including electricity which is discouraging investors, said Zaigham Adil Rizvi, Director Projects.
Pakistan’s current steel demand is around 5 million tonnes per year and we produce only 3 million tonnes so the remaining gap of 2 million tonnes steel is being imported in the country, he added.
Rising international steel prices have put immense pressure on the economies of developing world especially India and Pakistan where mounting steel demand overshadows the efforts of increasing steel production.
There has been a great surge in international steel prices during last couple of months and this has certainly changed the local steel market scenario of the country. Mild bars (sarya) prices have reached Rs80,000 per tonne from Rs65,000 per tonne in just one week. Sarya is the second most important construction input after cement. Price hike of sarya would in turn increase the construction cost making it very difficult for lower and middle-income groups to start building their homes.
http://www.thenews.com.pk/daily_detail.asp?id=103198
JICA transfers expertise to local industry
Sunday, March 30, 2008
By our correspondent
LAHORE: Chairman Pakistan Association of Auto Parts & Accessories Manufacturers (PAAPAM), Muhammad Aslam Malik, said that the Small and Medium Enterprise Development Authority (SMEDA) has done a great job in collaboration with Japan International Cooperation Agency (JICA), to have more than 100 per cent increase in production of the SMEs operating in the automotive sector.
It was observed at a farewell reception hosted by PAAPAM in honour of the outgoing Senior Volunteer of JICA, Kiyoshi Yoshid.
Muhammad Aslam Malik, Chairman PAAPAM, while delivering the welcome address to the guests, said that SMEDA had adopted the right way to upgrade local industry by bringing the most modern expertise from Japan, instead of sending so many people to Japan for training. He hoped that such initiatives would be extended in the future, with the same vigor. He also advised including OEMs into the SMEDA-JICA industry support program.
Chief Executive Officer, SMEDA Shahid Rashid in his address, expressed deep satisfaction over the SMEDA-JICA Industry Support Program. “This has been a very inspiring afternoon for me, when the industry stakeholders are acknowledging the services of SMEDA with high regards” he said.
http://www.thenews.com.pk/daily_detail.asp?id=103779
Sunday, March 30, 2008
By our correspondent
LAHORE: Chairman Pakistan Association of Auto Parts & Accessories Manufacturers (PAAPAM), Muhammad Aslam Malik, said that the Small and Medium Enterprise Development Authority (SMEDA) has done a great job in collaboration with Japan International Cooperation Agency (JICA), to have more than 100 per cent increase in production of the SMEs operating in the automotive sector.
It was observed at a farewell reception hosted by PAAPAM in honour of the outgoing Senior Volunteer of JICA, Kiyoshi Yoshid.
Muhammad Aslam Malik, Chairman PAAPAM, while delivering the welcome address to the guests, said that SMEDA had adopted the right way to upgrade local industry by bringing the most modern expertise from Japan, instead of sending so many people to Japan for training. He hoped that such initiatives would be extended in the future, with the same vigor. He also advised including OEMs into the SMEDA-JICA industry support program.
Chief Executive Officer, SMEDA Shahid Rashid in his address, expressed deep satisfaction over the SMEDA-JICA Industry Support Program. “This has been a very inspiring afternoon for me, when the industry stakeholders are acknowledging the services of SMEDA with high regards” he said.
http://www.thenews.com.pk/daily_detail.asp?id=103779
Investment needed for furnace casting mills
Sunday, April 06, 2008
The News: When did you come into this business?
Mohammad Hashim Bhagani: I have been in this industry since 2002 and this is my first business.
TN: How did you come into the steel business?
MHB: This is my family business, my grandfather entered into steel production in the late 1970s.
TN: Are you interested in export?
MHB: Karachi is expanding and during this phase it needs steel, which is one of the prime constituents of the construction sector. At present, we are trying to fulfill Pakistan’s requirement, but if in future we have surplus steel, we would definitely export our products.
TN: What is the importance of furnace casting mills, especially in the context of rising steel demand of the country?
MHB: Furnace casting mills have immense importance, especially when steel consumption is increasing in Pakistan, and remains a potential sector where investment is required to unearth opportunities.
TN: How do you see the future of furnace casting and rolling mills in Pakistan?
MHB: The construction sector is the backbone of a country’s development. It is flourishing these days and has been one of the core contributors to the country’s economy. Obviously, the future of furnace casting and rolling mills in Pakistan is very bright. The steel sector in Pakistan is escalating and has very good prospects.
TN: Would Pakistan be able to meet its steel demand in the near future?
MHB: Currently, Pakistan is unable to meet its steel demand. In fact, we are importing a multitude of raw materials to produce refined steel products (Pakistan’s annual steel consumption is 5 million tonnes and its total production is 3 million tonnes). In the present scenario, where demand is increasing and production is slowly going up, it seems difficult to meet the high demand. However, if proper planning is done to increase steel production and new ways of obtaining cheap raw material are found, it would be possible to meet the local steel demand. In short, we need to do much to give a boost to this important sector.
TN: What is the biggest problem our country faces in meeting steel demand?
MHB: The availability of raw material is the biggest hurdle facing the steel sector. The rising international steel prices as well as prices of raw material like iron ore and scrap have caused a very negative effect on furnace casting and re-rolling mills. There is a dire need of investment in the steel sector. More investment will help improve competition in the sector.
We need to make use of our own iron ore reserves like India. The more competition we experience in the steel sector, the more our country will benefit from it. As we welcome more competition, it will also help in generating employment opportunities.
In Balochistan, we have huge mineral resources and iron ore is one of them, which we are unable to explore. Pakistan needs to utilise its iron ore reserves, as it is very important to explore new raw material sources.
For the availability of cheap iron ore, we need to process our own ore and only in this way, we can achieve a proper place in the sector.
To achieve good results, we need mass level efforts by our government and this will also invite investors to iron ore processing.
The other major hurdle in the steel sector is un-trained labour, which is a big impediment in the way of producing more steel.—FZ
Young Entrepreneur
Name: Mohammad Hashim Bhagani
Age: 28
Home town: Karachi, Pakistan
Profession: Business
Designation: Co-owner of Amaan Steel, Furnace Casting
and Rolling Mills in Hub, Balochistan.
http://www.thenews.com.pk/daily_detail.asp?id=105136
Sunday, April 06, 2008
The News: When did you come into this business?
Mohammad Hashim Bhagani: I have been in this industry since 2002 and this is my first business.
TN: How did you come into the steel business?
MHB: This is my family business, my grandfather entered into steel production in the late 1970s.
TN: Are you interested in export?
MHB: Karachi is expanding and during this phase it needs steel, which is one of the prime constituents of the construction sector. At present, we are trying to fulfill Pakistan’s requirement, but if in future we have surplus steel, we would definitely export our products.
TN: What is the importance of furnace casting mills, especially in the context of rising steel demand of the country?
MHB: Furnace casting mills have immense importance, especially when steel consumption is increasing in Pakistan, and remains a potential sector where investment is required to unearth opportunities.
TN: How do you see the future of furnace casting and rolling mills in Pakistan?
MHB: The construction sector is the backbone of a country’s development. It is flourishing these days and has been one of the core contributors to the country’s economy. Obviously, the future of furnace casting and rolling mills in Pakistan is very bright. The steel sector in Pakistan is escalating and has very good prospects.
TN: Would Pakistan be able to meet its steel demand in the near future?
MHB: Currently, Pakistan is unable to meet its steel demand. In fact, we are importing a multitude of raw materials to produce refined steel products (Pakistan’s annual steel consumption is 5 million tonnes and its total production is 3 million tonnes). In the present scenario, where demand is increasing and production is slowly going up, it seems difficult to meet the high demand. However, if proper planning is done to increase steel production and new ways of obtaining cheap raw material are found, it would be possible to meet the local steel demand. In short, we need to do much to give a boost to this important sector.
TN: What is the biggest problem our country faces in meeting steel demand?
MHB: The availability of raw material is the biggest hurdle facing the steel sector. The rising international steel prices as well as prices of raw material like iron ore and scrap have caused a very negative effect on furnace casting and re-rolling mills. There is a dire need of investment in the steel sector. More investment will help improve competition in the sector.
We need to make use of our own iron ore reserves like India. The more competition we experience in the steel sector, the more our country will benefit from it. As we welcome more competition, it will also help in generating employment opportunities.
In Balochistan, we have huge mineral resources and iron ore is one of them, which we are unable to explore. Pakistan needs to utilise its iron ore reserves, as it is very important to explore new raw material sources.
For the availability of cheap iron ore, we need to process our own ore and only in this way, we can achieve a proper place in the sector.
To achieve good results, we need mass level efforts by our government and this will also invite investors to iron ore processing.
The other major hurdle in the steel sector is un-trained labour, which is a big impediment in the way of producing more steel.—FZ
Young Entrepreneur
Name: Mohammad Hashim Bhagani
Age: 28
Home town: Karachi, Pakistan
Profession: Business
Designation: Co-owner of Amaan Steel, Furnace Casting
and Rolling Mills in Hub, Balochistan.
http://www.thenews.com.pk/daily_detail.asp?id=105136
Local iron reserves to be exploited: 15,000 tons of ore supply to PSM started
ZAHEER ABBASI
ISLAMABAD (April 06 2008): The government has decided to exploit local iron reserves and, as a first step, has started supplying 15,000 tons ore to Pakistan Steel Mill (PSM) from Chaghi, Balochistan, it is learnt. Sources in Engineering Development Board (EDB) said that the steel sector was facing problems owing to high iron ore prices in the international market.
PSM was not getting required iron ore and whatever it got was very expensive. The EDB has set up three committees comprising professionals, stakeholders and representatives from all provinces asking them to come up with practical suggestions to move forward.
The issue was also discussed with the steel industry which fully supported the initiative. Initially, a contract was signed with the PSM for supply of 15,000 tons iron ore from Chaughi as a pilot project. The locally produced iron ore will be blended with the imported one to meet the utilisation requirements.
About major iron reservoirs in Pakistan, they said that one billion tons iron ore was scattered in different parts of the country varying in iron content. About 350 million tons iron ore reserves, with 30.35 percent Fe content in Kalabagh/Chichali, Mianwali District, 200 million tons, with 30-35 percent Fe in Dilband, Kallat District, 110 million tons up to 60 percent Fe iron content in Kirana, Sargodha District, 100 million tons with 25-35 percent Fe content in Nazampur, NWFP, and 66 million tons with 30-34 percent Fe in Pezu, NWFP.
Similarly, 45 million tons iron ore reserves with 30-34 percent Fe content are in Pachinkho, Chaughi District, 30 million tons with 30-34 percent Fe in Langrial, Hazara Division, 23 million tons with 10-55 percent Fe in Chilghazi, Chaughi District, 12 million tons with 50-60 percent Fe in Amir Chah, Chaghi District, 6.5 million tons with 60-65 percent Fe in Dammer Nisar, Chitral District, and 5 million tons with 20-60 percent Fe in Chigendik, Chaghi District.
Two major elements used for ore making are Haematite Ore and Magnetite Ore with iron content ranging between 50-65/67percent for rich ore and 30-35 percent lean ore. Sources said it was a fact that not all local iron ore reserves have the required content but these could be initially utilised through blending with imported ore.
The industry, they said, also believes in exploiting local reserves as the only way out of the crisis permanently in the wake of soaring steel prices. Even India and China, foreseeing the situation, have imposed export duty on steel products, they added.
Sources said that it was unlikely that the prices of steel products in the international market would reverse to previous levels and the government, realising the situation, has decided to explore the local iron reserves and will take some measures to make the industry energy-efficient.
http://www.brecorder.com/index.php?id=7195...m=&supDate=
ZAHEER ABBASI
ISLAMABAD (April 06 2008): The government has decided to exploit local iron reserves and, as a first step, has started supplying 15,000 tons ore to Pakistan Steel Mill (PSM) from Chaghi, Balochistan, it is learnt. Sources in Engineering Development Board (EDB) said that the steel sector was facing problems owing to high iron ore prices in the international market.
PSM was not getting required iron ore and whatever it got was very expensive. The EDB has set up three committees comprising professionals, stakeholders and representatives from all provinces asking them to come up with practical suggestions to move forward.
The issue was also discussed with the steel industry which fully supported the initiative. Initially, a contract was signed with the PSM for supply of 15,000 tons iron ore from Chaughi as a pilot project. The locally produced iron ore will be blended with the imported one to meet the utilisation requirements.
About major iron reservoirs in Pakistan, they said that one billion tons iron ore was scattered in different parts of the country varying in iron content. About 350 million tons iron ore reserves, with 30.35 percent Fe content in Kalabagh/Chichali, Mianwali District, 200 million tons, with 30-35 percent Fe in Dilband, Kallat District, 110 million tons up to 60 percent Fe iron content in Kirana, Sargodha District, 100 million tons with 25-35 percent Fe content in Nazampur, NWFP, and 66 million tons with 30-34 percent Fe in Pezu, NWFP.
Similarly, 45 million tons iron ore reserves with 30-34 percent Fe content are in Pachinkho, Chaughi District, 30 million tons with 30-34 percent Fe in Langrial, Hazara Division, 23 million tons with 10-55 percent Fe in Chilghazi, Chaughi District, 12 million tons with 50-60 percent Fe in Amir Chah, Chaghi District, 6.5 million tons with 60-65 percent Fe in Dammer Nisar, Chitral District, and 5 million tons with 20-60 percent Fe in Chigendik, Chaghi District.
Two major elements used for ore making are Haematite Ore and Magnetite Ore with iron content ranging between 50-65/67percent for rich ore and 30-35 percent lean ore. Sources said it was a fact that not all local iron ore reserves have the required content but these could be initially utilised through blending with imported ore.
The industry, they said, also believes in exploiting local reserves as the only way out of the crisis permanently in the wake of soaring steel prices. Even India and China, foreseeing the situation, have imposed export duty on steel products, they added.
Sources said that it was unlikely that the prices of steel products in the international market would reverse to previous levels and the government, realising the situation, has decided to explore the local iron reserves and will take some measures to make the industry energy-efficient.
http://www.brecorder.com/index.php?id=7195...m=&supDate=
Engineering exports to hit $1bn in 2 years
Tuesday, April 08, 2008
By our correspondent
LAHORE: Engineering Development Board (EDB) Chief Executive Officer Almas Hyder has said Pakistan’s engineering industry is now progressing by leaps and bounds.
“Our electric fan exports, which were zero about five years ago, have now reached $50 million. The engineering sector exports touched $850 million and are expected to hit $1 billion during the next two years,” he said.
Talking to reporters at a pre-departure training workshop on effective participation in Hanover trade fair, he said that the engineering sector constituted 55 per cent of the world trade, but the country had a negligible share in the world market.
“The engineering sector is very vast and its exports have become vital for us to get out of the trade deficit. We should reduce our export reliance on the textile sector,” he said. He said Pakistan Steel Mills had now started consumption of local raw material from Chagi and the EDB is well aware of the rising demand for steel and taking appropriate measures in this regard.
Earlier speakers said that because of continuous participation in the Hanover trade fairs, Pakistani industry people learned how to improve the quality of products, presentable packaging, and pricing of products, which considerably raise the standard of our exportable goods. The exports were 300-400 million dollars about three-four years back and as a result, the exports have been increased to $850 million.
Out of 14,000, Gujranwala with 9,000 engineering industrial units has strong base for producing of engineering goods, they said. They stressed the need for collaboration with the institutions concerned for improving technical skills and capacity building of the workforce. They said that out of the total cost of Rs900,000, the EDB was providing Rs850,000 to each of 55 exhibitors, while every one has to bear the cost of only Rs50,000 for attending the trade fair.
Hyder urged the participants to take care of the public money being provided to them for the trade fair so that desired results could be achieved.
http://www.thenews.com.pk/daily_detail.asp?id=105445
Tuesday, April 08, 2008
By our correspondent
LAHORE: Engineering Development Board (EDB) Chief Executive Officer Almas Hyder has said Pakistan’s engineering industry is now progressing by leaps and bounds.
“Our electric fan exports, which were zero about five years ago, have now reached $50 million. The engineering sector exports touched $850 million and are expected to hit $1 billion during the next two years,” he said.
Talking to reporters at a pre-departure training workshop on effective participation in Hanover trade fair, he said that the engineering sector constituted 55 per cent of the world trade, but the country had a negligible share in the world market.
“The engineering sector is very vast and its exports have become vital for us to get out of the trade deficit. We should reduce our export reliance on the textile sector,” he said. He said Pakistan Steel Mills had now started consumption of local raw material from Chagi and the EDB is well aware of the rising demand for steel and taking appropriate measures in this regard.
Earlier speakers said that because of continuous participation in the Hanover trade fairs, Pakistani industry people learned how to improve the quality of products, presentable packaging, and pricing of products, which considerably raise the standard of our exportable goods. The exports were 300-400 million dollars about three-four years back and as a result, the exports have been increased to $850 million.
Out of 14,000, Gujranwala with 9,000 engineering industrial units has strong base for producing of engineering goods, they said. They stressed the need for collaboration with the institutions concerned for improving technical skills and capacity building of the workforce. They said that out of the total cost of Rs900,000, the EDB was providing Rs850,000 to each of 55 exhibitors, while every one has to bear the cost of only Rs50,000 for attending the trade fair.
Hyder urged the participants to take care of the public money being provided to them for the trade fair so that desired results could be achieved.
http://www.thenews.com.pk/daily_detail.asp?id=105445
CFC to encourage manufacturing of energy savers
Thursday, April 10, 2008
By our correspondent
LAHORE: The Technology Upgradation and Skill Development Company (TUSDEC) is planning to set up a Common Facility Centre (CFC) to encourage local manufacturing of energy-efficient Compact Fluorescent Lamps (CFLs) with the ultimate objective to help bridge the gap between energy generation and consumption in Pakistan.
This was told at a meeting on ‘Energy Conservation and Load Management’ held at the TUSDEC head office here with Federal Secretary for Industries, Production and Special Initiatives Shahab Khawaja in the chair.
Speaking on the occasion, Shahab Khawaja said it was high time to encourage the replacement of incandescent bulbs with energy savers (CFLs) to quickly ensure energy security in the country.
He hoped that the establishment of CFC would go a long way in promoting energy-efficient illumination gadgets in the country. He also appreciated TUSDEC’s efforts to help industrial sector gain access to new technologies.
Giving presentation on ‘Impact of Energy Management on Power Planning’, Arshad Chughtai said the replacement of one incandescent bulb by a Compact Fluorescent Lamp (energy saver) by each of 17 million users of electric utilities, WAPDA and KESC could help save over 1,300 megawatts of electricity during peak hours.
He said power consumption in Pakistan was presently growing at a rate of 10 per cent per annum, predicting it would double by the year 2015.
He termed the consumers’ indifference towards saving electricity one of the major reasons for the steep growth in power consumption.
Quoting examples from other parts of the world, he said incandescent bulbs, perfected for mass use by Thomas A Edison in late 19th century, were being phased out in several developed and developing countries at the moment and replaced with CFLs which used only 20 per cent of the energy consumed by incandescent bulbs.
Arshad Chughtai said the use of CFLs would not only help consumers save a lot of money but also lead to austerity at national level as generation of each megawatt of energy cost $1 million.
He said, unlike other developed and developing nations of the world, most of the energy ie 43 per cent of total generation, was consumed in Pakistan by domestic consumers while the industry’s share in power consumption was just 28pc against 63pc in China and 43pc in India.
He said Pakistan with an installed power generation capacity of almost 20,000 megawatts (including that of recently installed two rental power plants) was presently facing a shortfall of 2,500 megawatts
http://www.thenews.com.pk/daily_detail.asp?id=105842
Thursday, April 10, 2008
By our correspondent
LAHORE: The Technology Upgradation and Skill Development Company (TUSDEC) is planning to set up a Common Facility Centre (CFC) to encourage local manufacturing of energy-efficient Compact Fluorescent Lamps (CFLs) with the ultimate objective to help bridge the gap between energy generation and consumption in Pakistan.
This was told at a meeting on ‘Energy Conservation and Load Management’ held at the TUSDEC head office here with Federal Secretary for Industries, Production and Special Initiatives Shahab Khawaja in the chair.
Speaking on the occasion, Shahab Khawaja said it was high time to encourage the replacement of incandescent bulbs with energy savers (CFLs) to quickly ensure energy security in the country.
He hoped that the establishment of CFC would go a long way in promoting energy-efficient illumination gadgets in the country. He also appreciated TUSDEC’s efforts to help industrial sector gain access to new technologies.
Giving presentation on ‘Impact of Energy Management on Power Planning’, Arshad Chughtai said the replacement of one incandescent bulb by a Compact Fluorescent Lamp (energy saver) by each of 17 million users of electric utilities, WAPDA and KESC could help save over 1,300 megawatts of electricity during peak hours.
He said power consumption in Pakistan was presently growing at a rate of 10 per cent per annum, predicting it would double by the year 2015.
He termed the consumers’ indifference towards saving electricity one of the major reasons for the steep growth in power consumption.
Quoting examples from other parts of the world, he said incandescent bulbs, perfected for mass use by Thomas A Edison in late 19th century, were being phased out in several developed and developing countries at the moment and replaced with CFLs which used only 20 per cent of the energy consumed by incandescent bulbs.
Arshad Chughtai said the use of CFLs would not only help consumers save a lot of money but also lead to austerity at national level as generation of each megawatt of energy cost $1 million.
He said, unlike other developed and developing nations of the world, most of the energy ie 43 per cent of total generation, was consumed in Pakistan by domestic consumers while the industry’s share in power consumption was just 28pc against 63pc in China and 43pc in India.
He said Pakistan with an installed power generation capacity of almost 20,000 megawatts (including that of recently installed two rental power plants) was presently facing a shortfall of 2,500 megawatts
http://www.thenews.com.pk/daily_detail.asp?id=105842
Although not an engineering related news but wanted to post it for record.
Engro Asahi Polymer and Chemicals to Expand PVC Plant and Build Chlor-Alkali Complex
ICIS news has exclusively revealed that Pakistan's sole polyvinyl chloride (PVC) producer Engro Asahi Polymer and Chemicals, after securing loans of $150m, is finalising an ambitious project that will see the expansion of its PVC plant and the construction of a chlor-alkali complex adjacent to it, a company executive said on Friday.
The remaining $71m for the $221m project is being financed through equity infusion, chief financial officer (CFO) Arshad Ahmed told ICIS news in an interview, adding the company also planned to list on the Pakistan stock exchange.
"Per capita consumption of PVC per year in Pakistan is a mere 0.6kg, far lower than India's 1.16kg, China's 6.8kg and Thailand's 8.43kg and the Middle East's 5.25kg. This shows the growth potential that exists in Pakistan" he said.
"IFC [International Finance Corp] will be injecting $20m equity into the company. Engro Chemicals, Pakistan and Mitsubishi Corp will pump in $25m and $3.5m to increase their equity in the joint venture," he added.
Engro Asahi's 100,000 tonne/year PVC plant, located in Port Qasim, near the coastal city of Karachi, would be expanded by 50% to 150,000 tonnes/year in the third quarter of 2008, he said.
A 150,000-200,000 tonne/year vinyl chloride monomer (VCM) plant, a 200,000 tonne/year ethylene dichloride (EDC) plant and a 100,000 tonne/year caustic soda plant were expected to start up in the first half of 2009, he added.
A 55 megawatt power plant would also be set up to provide captive electricity to the complex, he said, adding ethylene feedstock for the VCM and EDC plants would be sourced from the Middle East through contract agreements.
"We will also have the option to debottleneck the PVC capacity to 200,000 tonnes/year at a later stage depending on market conditions," he added.
Any excess capacity after catering to the domestic market would be diverted to other Asian markets, he said.
"Demand for pipe-grade PVC is projected to grow by 10-12% in 2007, especially in the construction and water supply segments," he said.
However, other grades like wire and cable and window profiles were expected to be introduced into the company's portfolio in the near future, Ahmed said.
Pakistan's consumption of PVC resin in 2006 was estimated to be 100,000 tonnes, with close to 15% of the total demand being met by recycled material and imports.
Engro Asahi supplied the domestic market with 85,000 tonnes last year and expected to increase that volume to 100,000 tonnes this year, Ahmed said.
Engro Chemicals and Mitsubishi Corp currently have 80% and 20% equity respectively in Engro Asahi, following Engro Chemicals' buyout of a 30% stake from Asahi Glass earlier this year.
The main reason for Asahi Glass's divestment was based on its strategic decision to curtail its focus on chloro-vinyl businesses outside Japan, the CFO said.
For the expansion project, Engro Asahi secured its loans of $60m from the IFC and $90m from local banks.
Posted September 3rd, 2007
http://www.azom.com/news.asp?newsID=9848
Engro Asahi Polymer and Chemicals to Expand PVC Plant and Build Chlor-Alkali Complex
ICIS news has exclusively revealed that Pakistan's sole polyvinyl chloride (PVC) producer Engro Asahi Polymer and Chemicals, after securing loans of $150m, is finalising an ambitious project that will see the expansion of its PVC plant and the construction of a chlor-alkali complex adjacent to it, a company executive said on Friday.
The remaining $71m for the $221m project is being financed through equity infusion, chief financial officer (CFO) Arshad Ahmed told ICIS news in an interview, adding the company also planned to list on the Pakistan stock exchange.
"Per capita consumption of PVC per year in Pakistan is a mere 0.6kg, far lower than India's 1.16kg, China's 6.8kg and Thailand's 8.43kg and the Middle East's 5.25kg. This shows the growth potential that exists in Pakistan" he said.
"IFC [International Finance Corp] will be injecting $20m equity into the company. Engro Chemicals, Pakistan and Mitsubishi Corp will pump in $25m and $3.5m to increase their equity in the joint venture," he added.
Engro Asahi's 100,000 tonne/year PVC plant, located in Port Qasim, near the coastal city of Karachi, would be expanded by 50% to 150,000 tonnes/year in the third quarter of 2008, he said.
A 150,000-200,000 tonne/year vinyl chloride monomer (VCM) plant, a 200,000 tonne/year ethylene dichloride (EDC) plant and a 100,000 tonne/year caustic soda plant were expected to start up in the first half of 2009, he added.
A 55 megawatt power plant would also be set up to provide captive electricity to the complex, he said, adding ethylene feedstock for the VCM and EDC plants would be sourced from the Middle East through contract agreements.
"We will also have the option to debottleneck the PVC capacity to 200,000 tonnes/year at a later stage depending on market conditions," he added.
Any excess capacity after catering to the domestic market would be diverted to other Asian markets, he said.
"Demand for pipe-grade PVC is projected to grow by 10-12% in 2007, especially in the construction and water supply segments," he said.
However, other grades like wire and cable and window profiles were expected to be introduced into the company's portfolio in the near future, Ahmed said.
Pakistan's consumption of PVC resin in 2006 was estimated to be 100,000 tonnes, with close to 15% of the total demand being met by recycled material and imports.
Engro Asahi supplied the domestic market with 85,000 tonnes last year and expected to increase that volume to 100,000 tonnes this year, Ahmed said.
Engro Chemicals and Mitsubishi Corp currently have 80% and 20% equity respectively in Engro Asahi, following Engro Chemicals' buyout of a 30% stake from Asahi Glass earlier this year.
The main reason for Asahi Glass's divestment was based on its strategic decision to curtail its focus on chloro-vinyl businesses outside Japan, the CFO said.
For the expansion project, Engro Asahi secured its loans of $60m from the IFC and $90m from local banks.
Posted September 3rd, 2007
http://www.azom.com/news.asp?newsID=9848
TUSDEC to set up facility centres
Staff Report
LAHORE: Technology Upgrad-ation and Skill Development Company (TUSDEC) will set up four Common Facility Centres (CFCs), one each in every province of Pakistan, under Asian Development Bank’s $12 million SME development programme.
This was told at a meeting held at TUSDEC head office here to discuss new initiatives and review the progress of the current ceramics oriented project being implemented by the company.
TUSDEC Chief Executive Officer (CEO) Suhael Ahmed, Manila-based ADB Economist Joao Farinha-Fernandes, Chief of Core Programme Management Unit, Ministry of Finance, Badar Hashmi and other senior officials of TUSDEC attended the meeting.
The CFCs include- Ceramics Complex in Gujranwala, proposed Engineering Support Centres in Peshawar, Hyderabad and Quetta.
Speaking on the occasion, Joao Farinha-Fernandes expressed keen interest in the projects planned by TUSDEC for the development of industrial sector.
He expressed that Pakistan would benefit from other TUSDEC initiatives such as an Electronics Complex, Federal Institute of Materials and Homologation and Composite Materials Institute, hoping that these projects would be instrumental in accelerating the industrial growth in this part of the world.
He said that Pakistan’s economy had been very resilient, adding that it did not experience any bust, unlike some other countries of the region. Drawing a parallel between Pakistan and South Korea, Fernandes said that Pakistan was trying to catch up with the developed world in the field of manufacturing the way Korea did some years ago.
He also dilated upon ADB efforts to support the developing economies of Asia like Pakistan. Giving a briefing on this occasion, CEO TUSDEC said that the CFCs would provide technological assistance to the SME clusters. He said that the construction of the Rs 314 million ceramics complex, for which land has been identified, would start in July next.
http://www.dailytimes.com.pk/default.asp?p...2-4-2008_pg5_23
Staff Report
LAHORE: Technology Upgrad-ation and Skill Development Company (TUSDEC) will set up four Common Facility Centres (CFCs), one each in every province of Pakistan, under Asian Development Bank’s $12 million SME development programme.
This was told at a meeting held at TUSDEC head office here to discuss new initiatives and review the progress of the current ceramics oriented project being implemented by the company.
TUSDEC Chief Executive Officer (CEO) Suhael Ahmed, Manila-based ADB Economist Joao Farinha-Fernandes, Chief of Core Programme Management Unit, Ministry of Finance, Badar Hashmi and other senior officials of TUSDEC attended the meeting.
The CFCs include- Ceramics Complex in Gujranwala, proposed Engineering Support Centres in Peshawar, Hyderabad and Quetta.
Speaking on the occasion, Joao Farinha-Fernandes expressed keen interest in the projects planned by TUSDEC for the development of industrial sector.
He expressed that Pakistan would benefit from other TUSDEC initiatives such as an Electronics Complex, Federal Institute of Materials and Homologation and Composite Materials Institute, hoping that these projects would be instrumental in accelerating the industrial growth in this part of the world.
He said that Pakistan’s economy had been very resilient, adding that it did not experience any bust, unlike some other countries of the region. Drawing a parallel between Pakistan and South Korea, Fernandes said that Pakistan was trying to catch up with the developed world in the field of manufacturing the way Korea did some years ago.
He also dilated upon ADB efforts to support the developing economies of Asia like Pakistan. Giving a briefing on this occasion, CEO TUSDEC said that the CFCs would provide technological assistance to the SME clusters. He said that the construction of the Rs 314 million ceramics complex, for which land has been identified, would start in July next.
http://www.dailytimes.com.pk/default.asp?p...2-4-2008_pg5_23
Pak engineering products attract foreign attention
ISLAMABAD: Engineering Development Board (EDB), Ministry of Industries and Production organised participation of 55 engineering companies in Hannover Messe, a leading technology exhibition in Germany from April 21 to April 25, 2008.
Pakistan pavilions at subcontracting and Energy/Power Transmission Technology categories attracted the customers due to the quality of products and the décor of the pavilion.
The Ambassador of Pakistan to Germany, Shahid Kamal, accompanied by the commercial counsellors of Germany and Netherlands visited pavilion.
The exhibitors praised the efforts of EDB for organising participation of Pakistani engineering industry in the world-class events and stressed the continuity of participation in Hannover Messe in upcoming years. Due to the repeated participation since 2005, each exhibitor has received more business queries in comparison to the previous years, which will result in increase of exports of engineering goods and services.
The representatives from various international chambers of commerce, business support organisations, western organizations for import promotion from Asian region and European research organizations visited Pakistan pavilion to witness technologies including castings, forgings, precision machined components, electrical goods, plastic, rubber and sheet metal parts displayed by engineering sector of Pakistan at the event.
The representatives from CBI, Import Promotion Organisation of the Netherlands, SIPPO-Swiss Import Promotion Organisation, Turkish Chamber of Commerce and Industry, Spanish, Italian, French and various German chambers and trade associations met Pakistani delegation to discuss possibilities to boost trade of engineering goods and services with Pakistan.
http://www.dailytimes.com.pk/default.asp?p...6-4-2008_pg5_19
ISLAMABAD: Engineering Development Board (EDB), Ministry of Industries and Production organised participation of 55 engineering companies in Hannover Messe, a leading technology exhibition in Germany from April 21 to April 25, 2008.
Pakistan pavilions at subcontracting and Energy/Power Transmission Technology categories attracted the customers due to the quality of products and the décor of the pavilion.
The Ambassador of Pakistan to Germany, Shahid Kamal, accompanied by the commercial counsellors of Germany and Netherlands visited pavilion.
The exhibitors praised the efforts of EDB for organising participation of Pakistani engineering industry in the world-class events and stressed the continuity of participation in Hannover Messe in upcoming years. Due to the repeated participation since 2005, each exhibitor has received more business queries in comparison to the previous years, which will result in increase of exports of engineering goods and services.
The representatives from various international chambers of commerce, business support organisations, western organizations for import promotion from Asian region and European research organizations visited Pakistan pavilion to witness technologies including castings, forgings, precision machined components, electrical goods, plastic, rubber and sheet metal parts displayed by engineering sector of Pakistan at the event.
The representatives from CBI, Import Promotion Organisation of the Netherlands, SIPPO-Swiss Import Promotion Organisation, Turkish Chamber of Commerce and Industry, Spanish, Italian, French and various German chambers and trade associations met Pakistani delegation to discuss possibilities to boost trade of engineering goods and services with Pakistan.
http://www.dailytimes.com.pk/default.asp?p...6-4-2008_pg5_19
Descon to install oil refinery
Saturday, April 26, 2008
By our correspondent
LAHORE: Descon Engineering has signed a contract with Trans Asia Refinery Limited here at Descon headquarters. The contract was signed by MD & CEO Descon Engineering, Sheikh Azhar Ali and CEO Trans Asia Refinery, Muhammad Salim. Chairman Descon Abdul Razak Dawood was also present at the ceremony.
According to the contract, Descon Engineering will install a 100,000-barrel per day oil refinery from Italy at Port Qasim, Karachi and the project will be completed in April 2010. Descon Engineering will complete designing construction and all other work areas of the refinery installation project.
On the occasion, MD Descon, Sheikh Azhar Ali said that the project will bring more then $500 million in direct foreign investment to Pakistan.
Trans Asia Refinery will be the eighth refinery to be set in Pakistan after Attock refinery, Bosicor Refinery, Bosicor oil Refinery, Indus Refinery, National Refinery, Pak馎rab Refinery and Pakistan Refinery.
http://www.thenews.com.pk/daily_detail.asp?id=108927
Saturday, April 26, 2008
By our correspondent
LAHORE: Descon Engineering has signed a contract with Trans Asia Refinery Limited here at Descon headquarters. The contract was signed by MD & CEO Descon Engineering, Sheikh Azhar Ali and CEO Trans Asia Refinery, Muhammad Salim. Chairman Descon Abdul Razak Dawood was also present at the ceremony.
According to the contract, Descon Engineering will install a 100,000-barrel per day oil refinery from Italy at Port Qasim, Karachi and the project will be completed in April 2010. Descon Engineering will complete designing construction and all other work areas of the refinery installation project.
On the occasion, MD Descon, Sheikh Azhar Ali said that the project will bring more then $500 million in direct foreign investment to Pakistan.
Trans Asia Refinery will be the eighth refinery to be set in Pakistan after Attock refinery, Bosicor Refinery, Bosicor oil Refinery, Indus Refinery, National Refinery, Pak馎rab Refinery and Pakistan Refinery.
http://www.thenews.com.pk/daily_detail.asp?id=108927
After all of these Refineries are built, Pakistan will have a refining capacity of 869,000 bbl/d.
QUOTE(bojangles @ Apr 27 2008, 01:28 PM)
After all of these Refineries are built, Pakistan will have a refining capacity of 869,000 bbl/d.
Yes Bojangles, now we need the investment to diversify and now should go into Steel, petrochemicals and high tech sectors. We have pretty hefty investments in pipeline in Cement,Fertilizer and Oil refining sector, there is middle level activity going on in Steel. Need to focus on petro chemicals and engineering sector.
QUOTE(ABBASIA @ Apr 28 2008, 02:07 PM)
Yes Bojangles, now we need the investment to diversify and now should go into Steel, petrochemicals and high tech sectors. We have pretty hefty investments in pipeline in Cement,Fertilizer and Oil refining sector, there is middle level activity going on in Steel. Need to focus on petro chemicals and engineering sector.
Our consumption is only 365,000 bbl/d, correct?
QUOTE(bojangles @ Apr 28 2008, 03:47 PM)
Our consumption is only 365,000 bbl/d, correct?
You can put it around 450-500k utmost till these refineries are completed. So lot of spare refining, we can bring in oil, refine and export. Also keep in mind Khalifa Point oil refinery 200k-300k, on which work will start later this year.
QUOTE(ABBASIA @ Apr 29 2008, 03:00 AM)
You can put it around 450-500k utmost till these refineries are completed. So lot of spare refining, we can bring in oil, refine and export. Also keep in mind Khalifa Point oil refinery 200k-300k, on which work will start later this year.
That is really encouraging.
QUOTE(ABBASIA @ Apr 29 2008, 02:00 AM)
You can put it around 450-500k utmost till these refineries are completed. So lot of spare refining, we can bring in oil, refine and export. Also keep in mind Khalifa Point oil refinery 200k-300k, on which work will start later this year.
Yeah, that makes sense. By the time the refineries are completed, we will have a surplus of around 350-400,000 bbl/d in refinery capacity (that surplus is about equal to our consumption right now). We could make a ton of cash by doing this (possibly import Oil from Iran, refine it and sell it, as they are short on refining capacity). Plus the benefits from the byproducts of refining oil will be enormous.
QUOTE(bojangles @ Apr 29 2008, 02:46 PM)
Yeah, that makes sense. By the time the refineries are completed, we will have a surplus of around 350-400,000 bbl/d in refinery capacity (that surplus is about equal to our consumption right now). We could make a ton of cash by doing this (possibly import Oil from Iran, refine it and sell it, as they are short on refining capacity). Plus the benefits from the byproducts of refining oil will be enormous.
Singapore has been doing same, a lot of oil bound to Pakistan from Gulf used to go to Singapore, get refined and returned to Pakistan. They have pretty much developed petro chemical industry. Now we are going to enter the chain, we need to go into downstream industries quick if we wanna exit low value added items (e.g. cotton and yarn ), because I feel due to better lifestyles in Pakistan compared to rest of the sub continent, its not feasible for us to work in low cost areas where Bangladesh and other countries carry edge over us. Its upto our industrial conglomerate that how they diversify. One example I will like to give is of
Engro Chemical, initially they installed PVC plant, now the are going in reversed order of chain and investing 220 million in that plant. I would wish if Fauji group gets more dyanmic and invests in petro chemical line or we can bring in some big investor from Gulf. I was tracking an investor Midrock of Kuwait who had plans of 2 billion dollars petro complex at Port Qasim, but it seemed like they backtracked due to the political turmoil. Let's keep our eye on development in the sector.
QUOTE(ABBASIA @ Apr 29 2008, 08:53 PM)
Singapore has been doing same, a lot of oil bound to Pakistan from Gulf used to go to Singapore, get refined and returned to Pakistan. They have pretty much developed petro chemical industry. Now we are going to enter the chain, we need to go into downstream industries quick if we wanna exit low value added items (e.g. cotton and yarn ), because I feel due to better lifestyles in Pakistan compared to rest of the sub continent, its not feasible for us to work in low cost areas where Bangladesh and other countries carry edge over us. Its upto our industrial conglomerate that how they diversify. One example I will like to give is of
Engro Chemical, initially they installed PVC plant, now the are going in reversed order of chain and investing 220 million in that plant. I would wish if Fauji group gets more dyanmic and invests in petro chemical line or we can bring in some big investor from Gulf. I was tracking an investor Midrock of Kuwait who had plans of 2 billion dollars petro complex at Port Qasim, but it seemed like they backtracked due to the political turmoil. Let's keep our eye on development in the sector.
Engro Chemical, initially they installed PVC plant, now the are going in reversed order of chain and investing 220 million in that plant. I would wish if Fauji group gets more dyanmic and invests in petro chemical line or we can bring in some big investor from Gulf. I was tracking an investor Midrock of Kuwait who had plans of 2 billion dollars petro complex at Port Qasim, but it seemed like they backtracked due to the political turmoil. Let's keep our eye on development in the sector.
You know what I was thinking, what if the oil bound to China (from the Gulf) was refined in Pakistan (at least some of it) and then either shipped off or have a pipeline between Pakistan and China created to transport that oil. It would help bring in a ton of revenue for the country, stimulate the petrochemical industry and at the same time it would be cheaper for China (if they go the pipeline route). It looks like a win-win situation to me.
UAE keen to invest in Pakistan
ISLAMABAD: UAE is all set to establish oil refinery in Pakistan and to further accelerate economic interaction by targeting upcoming investment and privatisation opportunities, Ali Mohammed Al Shamsi, Ambassador of UAE to Pakistan, said in a meeting with Syed Naveed Qamar Federal Minister for Privatisation, Investment, Ports, Shipping, Industries and Production here Wednesday.
The UAE Envoy assured full support of UAE government to further promote the private sector and UAE government’s investment in Pakistan in the fields of energy, petrochemical and real estate sectors. “In order to encourage the farmers, UAE is planning to establish an agriculture bank to improve quality control of rice, wheat, vegetables and other agri-products through financing,” he added.
Syed Naveed Qamar said that Pakistan provided tremendous investment opportunities to all investors in every sector of economy with liberal investment policy and unmatchable incentives in the region with a level playing field.
He informed the envoy that the government was planning to sell a specific quantity of shares of Habib Bank Limited to the institutions through block sale while expressions of interest have been invited for privatisation of SME Bank. “We are in the process of prioritising our privatisation Program, which would be announced soon,” he stated.
Source
================================================================================
Is this an additional refinery (one that we don't know about yet), or a reference to one already planned?
ISLAMABAD: UAE is all set to establish oil refinery in Pakistan and to further accelerate economic interaction by targeting upcoming investment and privatisation opportunities, Ali Mohammed Al Shamsi, Ambassador of UAE to Pakistan, said in a meeting with Syed Naveed Qamar Federal Minister for Privatisation, Investment, Ports, Shipping, Industries and Production here Wednesday.
The UAE Envoy assured full support of UAE government to further promote the private sector and UAE government’s investment in Pakistan in the fields of energy, petrochemical and real estate sectors. “In order to encourage the farmers, UAE is planning to establish an agriculture bank to improve quality control of rice, wheat, vegetables and other agri-products through financing,” he added.
Syed Naveed Qamar said that Pakistan provided tremendous investment opportunities to all investors in every sector of economy with liberal investment policy and unmatchable incentives in the region with a level playing field.
He informed the envoy that the government was planning to sell a specific quantity of shares of Habib Bank Limited to the institutions through block sale while expressions of interest have been invited for privatisation of SME Bank. “We are in the process of prioritising our privatisation Program, which would be announced soon,” he stated.
Source
================================================================================
Is this an additional refinery (one that we don't know about yet), or a reference to one already planned?
QUOTE(bojangles @ Apr 29 2008, 11:39 PM)
You know what I was thinking, what if the oil bound to China (from the Gulf) was refined in Pakistan (at least some of it) and then either shipped off or have a pipeline between Pakistan and China created to transport that oil. It would help bring in a ton of revenue for the country, stimulate the petrochemical industry and at the same time it would be cheaper for China (if they go the pipeline route). It looks like a win-win situation to me.
This plan is already on the board, China considers Malacca straits as a strategic bottleneck in war like situation. As it happend with Japan in WWII, China identified three passage for oil supplies, a Canal project in Thailand to bring oil directly up, Burma and Pakistan. Of these three passages Pakistan offers the best potential, that is what Pakistan Governments are also trying to forge. Gwadar is one chain to achieve this objective.
Auto clusters to be launched next month
LAHORE: The auto cluster development committee has approved for setting up two auto clusters at Sheikhupura and Bin Qasim Karachi, auto cluster at Lahore Sheikhupura Road will be launched during May 2008.
Chairman of the committee, Mohsin Syed, who is also regional director of National Industrial Park Development and Management Company at a meeting Wednesday said that 250 small and medium industrial units would be set up in auto cluster at Lahore Sheikhupura Road.
This cluster will support all engineering units in the province of Punjab generally and units on Lahore Sheikhupura Road in particular. Auto cluster at Bin Qasim Karachi was also approved during the meeting. Director General, Board of Investment Pakistan, Riaz-ul-Haq, representatives of PAHA, PAPAM, APMA and others also attended the meeting and endorsed the decisions.
http://www.dailytimes.com.pk/default.asp?p...1-5-2008_pg5_16
LAHORE: The auto cluster development committee has approved for setting up two auto clusters at Sheikhupura and Bin Qasim Karachi, auto cluster at Lahore Sheikhupura Road will be launched during May 2008.
Chairman of the committee, Mohsin Syed, who is also regional director of National Industrial Park Development and Management Company at a meeting Wednesday said that 250 small and medium industrial units would be set up in auto cluster at Lahore Sheikhupura Road.
This cluster will support all engineering units in the province of Punjab generally and units on Lahore Sheikhupura Road in particular. Auto cluster at Bin Qasim Karachi was also approved during the meeting. Director General, Board of Investment Pakistan, Riaz-ul-Haq, representatives of PAHA, PAPAM, APMA and others also attended the meeting and endorsed the decisions.
http://www.dailytimes.com.pk/default.asp?p...1-5-2008_pg5_16
Descon wins TransAsia Refinery contract
Descon signed a contract with TransAsia Refinery Limited (TRL), here on Monday April 21 at Descon Headquarters Lahore.
The contract was signed between MD & CEO Descon Engineering Limited Mr. Shaikh Azhar Ali and CEO TransAsia Refinery Limited Mr. Muhammad Salim. The signing ceremony was witnessed by Chairman Descon Mr. Abdul Razak Dawood and other senior officials from both companies.
The 100,000 barrel/day refinery has to be relocated from Naples, Italy to Port Qasim, Karachi. The services provided by Descon include; engineering, construction, products & utilities pipelines design and construction, crude and export products storage/handling facilities design and construction, utilities and off-sites construction. The project is scheduled to reach its completion by April, 2010.
http://www.descon.com.pk/default.aspx
Descon signed a contract with TransAsia Refinery Limited (TRL), here on Monday April 21 at Descon Headquarters Lahore.
The contract was signed between MD & CEO Descon Engineering Limited Mr. Shaikh Azhar Ali and CEO TransAsia Refinery Limited Mr. Muhammad Salim. The signing ceremony was witnessed by Chairman Descon Mr. Abdul Razak Dawood and other senior officials from both companies.
The 100,000 barrel/day refinery has to be relocated from Naples, Italy to Port Qasim, Karachi. The services provided by Descon include; engineering, construction, products & utilities pipelines design and construction, crude and export products storage/handling facilities design and construction, utilities and off-sites construction. The project is scheduled to reach its completion by April, 2010.
http://www.descon.com.pk/default.aspx
EDB to establish HR centres for auto sector
ISLAMABAD: The Engineering Development Board (EDB) will establish two Centres of Excellence at Karachi and Lahore to meet the current and future requirements of Human Resource (HR) in auto sector.
This was revealed in a meeting of Human Resource Development sub-committee held here today under the chairmanship of its convener Sikandar Mustafa Khan, Chairman, Millat Tractors. Two specialised companies have already been established to complete formalities in this regard. The existing training institutes such as NAVTEC, TEVTA, NUST and Higher Education Commission (HEC) will provide necessary inputs for these centres.
ECC of the Cabinet had approved Auto Industry Development Program (AIDP) in November last year. To steer AIDP auto industry development committee (AIDC) was formed in February this year which decided to constitute sub-committees to steer different programmes under the AIDP. HRD is one sub-committee to form recommendations for development of HRD in the auto sector.
The committee in its maiden sitting deliberated and decided its terms of reference. The representative of Higher Education Commission (HEC) gave a presentation on their programme to train technical manpower from top ranking foreign universities. The representatives of industry underlined the need of introducing the subject of auto engineering at graduation and master levels.
http://www.dailytimes.com.pk/default.asp?p..._7-5-2008_pg5_8
ISLAMABAD: The Engineering Development Board (EDB) will establish two Centres of Excellence at Karachi and Lahore to meet the current and future requirements of Human Resource (HR) in auto sector.
This was revealed in a meeting of Human Resource Development sub-committee held here today under the chairmanship of its convener Sikandar Mustafa Khan, Chairman, Millat Tractors. Two specialised companies have already been established to complete formalities in this regard. The existing training institutes such as NAVTEC, TEVTA, NUST and Higher Education Commission (HEC) will provide necessary inputs for these centres.
ECC of the Cabinet had approved Auto Industry Development Program (AIDP) in November last year. To steer AIDP auto industry development committee (AIDC) was formed in February this year which decided to constitute sub-committees to steer different programmes under the AIDP. HRD is one sub-committee to form recommendations for development of HRD in the auto sector.
The committee in its maiden sitting deliberated and decided its terms of reference. The representative of Higher Education Commission (HEC) gave a presentation on their programme to train technical manpower from top ranking foreign universities. The representatives of industry underlined the need of introducing the subject of auto engineering at graduation and master levels.
http://www.dailytimes.com.pk/default.asp?p..._7-5-2008_pg5_8
TUSDEC to set up CDTI in Gujranwala
LAHORE: Technology Upgrad-ation and Skill Development Company (TUSDEC) has begun set up phase of ADB CFC Programme funded Ceramics Development and Training Institute (CDTI), in Gujranwala.
CDTI is designed to help resuscitate the local sanitary-ware industry and enable it to face competition in international market. According to a TUSDEC spokesman on Friday, land for Rs 314 million project has been acquired in village Attawa near Gujranwala, the project team has been hired while construction would start shortly.
The facility being developed under Asian Development Bank’s $12 million SME sector development CFC Programme, will be housed in a Pre-Engineered Building and comprise a modern Common Facility Centre specialising in sanitary-ware and will also include a testing laboratory to help the entire ceramics industry in Pakistan. staff report
http://www.dailytimes.com.pk/default.asp?p...0-5-2008_pg5_15
LAHORE: Technology Upgrad-ation and Skill Development Company (TUSDEC) has begun set up phase of ADB CFC Programme funded Ceramics Development and Training Institute (CDTI), in Gujranwala.
CDTI is designed to help resuscitate the local sanitary-ware industry and enable it to face competition in international market. According to a TUSDEC spokesman on Friday, land for Rs 314 million project has been acquired in village Attawa near Gujranwala, the project team has been hired while construction would start shortly.
The facility being developed under Asian Development Bank’s $12 million SME sector development CFC Programme, will be housed in a Pre-Engineered Building and comprise a modern Common Facility Centre specialising in sanitary-ware and will also include a testing laboratory to help the entire ceramics industry in Pakistan. staff report
http://www.dailytimes.com.pk/default.asp?p...0-5-2008_pg5_15
Tuwairqi Steel to be ready by early 2009
By Our Staff Reporter
KARACHI, May 14: Sindh minister of industries and commerce Abdul Rauf Siddiqui laid on Wednesday the foundation stone of induction furnace project of the upcoming first private sector steel project -- Tuwairqi Steel Mills -- near Port Qasim.
The furnace is the intermediary phase of the 1.28 million tons per annum capacity art-of-state Tuwairqi Steel based on Midrex process.
The project is expected to be completed by the first quarter of 2009 when the direct reduction plant will also be approaching its completion. The Direct Reduced Iron (DRI) plant will be completed at a total cost of $265 million. The induction furnace includes the installation of a 60MW capacity power plant, while another power plant of 25MW will be installed for DRI. The DRI is the steel making plant.
Addressing a gathering on the occasion, the Sindh minister assured that his government would extend all possible assistance for completion of the project. He said the government was keen to attract investment and create job opportunities in the province.
Mr Tariq Barlas, vice-chairman and chief executive of Al-Tuwairqi Group of Companies, said that his company was keen to promote steel making industry in Pakistan because of its great potential and immense prospects in future.
Zaigham Adil Rizvi, director projects spoke on fast rising steel prices around the world because of the mounting demand. With increasing local production, he said, Pakistan would be able to save considerable foreign exchange now being spent on import.
Director Projects, Midrex, Paul Max Love, NED University vice-chancellor Abul Kalam and Board of Investment director general Riazul Hasan also attended the ceremony.
http://www.dawn.com/2008/05/15/ebr2.htm
By Our Staff Reporter
KARACHI, May 14: Sindh minister of industries and commerce Abdul Rauf Siddiqui laid on Wednesday the foundation stone of induction furnace project of the upcoming first private sector steel project -- Tuwairqi Steel Mills -- near Port Qasim.
The furnace is the intermediary phase of the 1.28 million tons per annum capacity art-of-state Tuwairqi Steel based on Midrex process.
The project is expected to be completed by the first quarter of 2009 when the direct reduction plant will also be approaching its completion. The Direct Reduced Iron (DRI) plant will be completed at a total cost of $265 million. The induction furnace includes the installation of a 60MW capacity power plant, while another power plant of 25MW will be installed for DRI. The DRI is the steel making plant.
Addressing a gathering on the occasion, the Sindh minister assured that his government would extend all possible assistance for completion of the project. He said the government was keen to attract investment and create job opportunities in the province.
Mr Tariq Barlas, vice-chairman and chief executive of Al-Tuwairqi Group of Companies, said that his company was keen to promote steel making industry in Pakistan because of its great potential and immense prospects in future.
Zaigham Adil Rizvi, director projects spoke on fast rising steel prices around the world because of the mounting demand. With increasing local production, he said, Pakistan would be able to save considerable foreign exchange now being spent on import.
Director Projects, Midrex, Paul Max Love, NED University vice-chancellor Abul Kalam and Board of Investment director general Riazul Hasan also attended the ceremony.
http://www.dawn.com/2008/05/15/ebr2.htm
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