KARACHI: The country's crude oil production would be enhanced by 25 percent to 100,000 barrels per day by the end of March 2013 in order to meet domestic energy needs, said Dr Asim Hussain, Advisor to the Prime Minister on Petroleum and Natural Resources on Sunday.
He was speaking to the media persons at the inauguration ceremony of the operational block of the recently completed Byco Oil Refining Complex, at Mouza Kund, District Lasbella, Balochistan. He was accompanied by Amir Abbassciy, CEO Byco Industries Incorporated (BII) and other dignitaries.
Dr Asim said that the government was making timely payments to the companies for purchase of furnace oil in order to reduce circular debt. "Presently we have 44 oil rigs which need to be increased to 100 to cater to the country's oil needs," he said.
He praised Byco for investment in the oil and refining sector of the country, which he said sends a positive signal about investment opportunities in Pakistan. "Let Byco's commitment to the oil refining sector of the country be an example to all investors that Pakistan is a country with huge potential and is ready to welcome both foreign and local investors," he added.
Speaking on the occasion, the CEO BII said that the first parcel of crude oil for the refinery would be brought in next few days to the country's first single point mooring installed 10.4km into the Arabian Sea for direct discharge to the refinery storage tanks. "This facility can discharge tankers carrying over 100,000 metric tons of crude oil," he added.
He said that soon after the commissioning of the Byco Oil Refining Complex, "we would focus all our endeavours on constructing the country's first Petrochemical Complex." In his presentation, CEO Byco Oil Pakistan Limited (BOPL) Qaiser Jamal said that once, commissioned, the new refinery would have an installed refining capacity of 120,000 barrels per day, the largest oil refining capacity of any refinery in the country.
"Combined with the existing and fully operative smaller refinery, the cumulative capacity shall be over 155,000 barrels per day which is 55 percent higher than the existing largest refinery in Pakistan. Thus it will enhance overall crude oil refining capacity in the country from existing 12.25 to 18 million tons per year and will significantly contribute in reducing import of deficit refined petroleum products in the country," he said, adding that the refinery could be further expanded up to 180,000 bpd.
Jamal said that at present the refinery was in a state of commissioning and preparatory activities wherein different plants, equipment and instrumentation were being put to confirmatory checks and tests. He said that cold circulation of crude oil had already been established and sustained. Besides furnaces of different process units had been test fired. "The refinery is ready for hot commissioning and start up," he added.
After the inauguration, Dr Asim was taken on a tour of the sprawling complex where he was apprised of the various functions of the complex. He was also informed of the country's Single Point Mooring, which will feed crude oil from the tanker to the refinery, in the process cutting the cost of refining by almost $4/mt.