Cnergyico Finalizes Second US Crude Cargo Deal
ISLAMABAD: Pakistan’s largest oil refinery Cnergyico has finalized a deal for a second crude oil cargo.
Vice Chairman Usama Qureshi told NewzTodadays that a deal was finalized on Wednesday to import a second US crude oil.
He further said that Vitol will deliver a US crude oil cargo carrying 1 million barrels of West Texas Light (WTL) crude in November.Saudi Arabia shelves $10 billion oil refinery project
The deal has been finalized under Cnergyico’s term supply arrangement with the European trader, he said, adding that the refinery is also looking for more US crude oil cargoes in the future.
The country’s largest oil refinery is currently working on an upgrade project. The Special Investment Facilitation Council (SIFC) and the Economic Coordination Committee (ECC) have recently settled a long-awaited issue for Pakistan’s refining sector, paving the way for more investment.
Following directives of SIFC, the economic decision-making body (ECC), had okayed the settlement framework to settle outstanding petroleum levy dues of M/s Cnergyico PK Limited (CPL).
The framework, which has been prepared in line with the decisions of SIFC Apex/EC/IC, provides a mechanism for the recovery of the principal amount of petroleum levy duty. It also authorizes the Petroleum Division to sign the deed of settlement with CPL.
The industry had widely hailed the decision, terming it a game-changer for refinery upgradation. It had also allowed CPL to move forward with the execution of its agreement with OGRA under the Brownfield Refining Policy. The government had introduced a policy which provides an incentivize for investment to modernize the existing refineries, ensure cleaner fuel standards, and reduce reliance on costly imports.
