PRL Signing Brownfield Policy Deal with OGRA Today
Pakistan Refinery Limited (PRL) is anticipated to finalize an agreement with the Oil and Gas Regulatory Authority (OGRA) on Thursday, aligning with the ‘brownfield refinery policy’ to avail incentives aimed at enhancing existing plant development.
An official from the refinery, who opted to remain anonymous, confirmed the impending signing. The official disclosed that the requisite documentary formalities are nearing completion, with the signing ceremony scheduled to take place in Islamabad, most likely on Thursday.
In response to inquiries about the participation of other refineries in signing similar agreements, the executive commented,
“For now, we are signing the agreement, as we have been dedicated to this project for the past two and a half years.”
It is noteworthy that, as per the government-approved policy, refiners were mandated to conclude agreements with the regulator by the cutoff date of November 16, 2023.
On Wednesday, following concerns expressed by other existing refineries, OGRA issued a clarification. OGRA stated that multiple meetings had occurred between the Oil and Gas Regulatory Authority (OGRA), refineries, and representatives of the Ministry of Energy, Petroleum Division, concerning the ‘Brownfield Refinery Policy.’ Some refineries have raised objections deemed beyond the Federal Government’s policy guidelines. These concerns have been communicated to the federal government for consideration.
The Brownfield Refinery Policy necessitates the signing to empower existing refineries to advance projects for upgrading to produce Euro-V-compliant fuels, a venture deemed of national strategic importance.
It is pertinent to note that the final agreed-upon draft of the agreement was shared with refineries on November 8, 2023, in adherence to the policy guidelines of the Federal Government for execution. Refineries are mandated to sign the agreement with OGRA.
