Pakistani conglomerate Ameer Group has awarded a contract worth $4.67BN to China-based Dalian Petrochemical (DPC) to build a new deep conversion oil refinery in the Sindh province.
The contract given for DPC, a subsidiary of China Energy Engineering Corporation (CEEC), is for engineering, procurement and construction (EPC) of the Pakistan State Oil refinery project.
According to the parties, the PSO refinery, which will be built in Larkana Sindh, will have a production capacity of up to 400,000 barrels per day of oil.
The objective of the Pakistan State Oil refinery will be to process 90% of the imported crude oil via Karachi with 10% local crude oil sourced from various oil wells in Karak district. The subsequent petroleum products produced from the full conversion process will be mainly for sale by complying with the mandated EURO-II specifications.
Ameer Group Vice President Syed Ali-Ayaan Ameer Bhutto said: “This new state-of-the-art oil refining complex will have its independent 1000-Mega Watt power generation plant, 11.8 million metric tons storage facilities all across Pakistan and 700 plus kilometers network of oil pipe lines.”
The Pakistani oil refinery is likely to be completed in 30 months after commencement of the project work. It will feature a crude distillation unit, a naphtha hydrotreater unit, a reformer unit, an isomerization plant, a thermal gas oil unit, an effluent treatment plant and all auxiliary units.
CEEC vice president Yu Gang said: “As the strong backup for DPC, CEEC is willing to provide convenience and support while at the same time implement supervision and provide guidance.
“CEEC and DPC will insist on the scientific, high efficient, concise and modest philosophy to utilize resources, make technical planning and solution and strictly execute the contract to build the project into a demonstration of China-Pakistan cooperation.