Pakistan Refinery Advances Refinery Expansion with Strategic Talks in China
Pakistan Refinery Limited (PRL) is taking a significant step to enhance its refining capabilities through its Refinery Expansion & Upgrade Project (REUP). Senior management from PRL recently visited China to engage with Engineering, Procurement, and Construction (EPC) contractors and financial institutions.
On November 16 last year, Pakistan Refinery Limited (PRL) signed an upgrade agreement with the Oil and Gas Regulatory Authority (OGRA) to enhance and expand its plants.
The discussions were highly productive, setting the groundwork for the upcoming phases of the REUP project. Chinese companies expressed strong interest in collaborating with PRL on this large-scale initiative, a news statement issued by the Pakistan Refinery said on Tuesday.
The REUP project aims to double PRL’s crude processing capacity from 50,000 barrels per day (bpd) to 100,000 bpd. This expansion will include the adoption of a state-of-the-art Deep Conversion Refinery configuration, utilizing advanced technology to meet stringent environmental standards, including the production of EURO V standard fuels.
“PRL is ahead of all refineries in Pakistan right now in terms of our Refinery Expansion & Upgrade Project,” said Zahid Mir, Managing Director & CEO of PRL. “The meetings with EPC contractors in China yielded very positive results. We have developed a comprehensive plan to award the EPC contract by the end of this year and work towards achieving financial close of the project by mid-next year. The feedback from these discussions has been overwhelmingly supportive.”
In addition to these strategic meetings, PRL has proactively engaged with the Oil and Gas Regulatory Authority (OGRA) to sign a supplementary agreement. PRL has requested amendments to existing agreements to align with the updated brownfield policy, a crucial step for securing the regulatory support needed for the project’s successful implementation and long-term sustainability.
The REUP represents a substantial investment in Pakistan’s energy infrastructure. By doubling capacity, producing value-added products, and adhering to international environmental standards, including the production of EURO V compliant motor spirit (MS) and high-speed diesel (HSD), PRL aims to strengthen its position in the global energy market and significantly contribute to the country’s economic growth.
