Daily Times

KARACHI: The Sui Southern Gas Company (SSGC) on Thursday announced plans to lay down a second re-gasified liquefied natural gas (RLNG) pipeline from Karachi to Lahore. The project is expected to be completed by October, 2018.

“The SSGC Board of Directors has conceptually approved a capital intensive project for the development of additional 1.2 billion cubic feet per day (BCFD) capacity pipeline for the transportation of additional supply from CTS Bin Qasim to CTS Sawan by incurring capital expenditure on 42″ diameter x 339 kilometre and 48″ diameter x 31 KM. The total length is approximately 370 KM (from CTS Bin Qasim to CTS Sawan) gas pipeline infrastructure with 480,00HP compressions,” said Company Secretary Shoaib Ahmed.

In a notice sent to the local bourse on Thursday, the SSGC further informed its shareholders that the total cost of the project estimated to be Rs 64,999 million with expected completion in October, 2018. The aforesaid project has been conceptually approved by the Board of Directors, subject to the approval by the Oil and Gas Regulatory Authority (OGRA), the Economic Coordination Committee (ECC) or any other competent authority of the federal government, availability of Letter of Comfort from Ministry of Petroleum and Natural Resources (MPNR) about availability of RLNG terminal facility for regasification up to 1.2 BCFD; and arrangement of financing through Long Term Loan from the federal government or through commercial borrowing backed by the sovereign guarantee by the federal government including waiver of existing loan covenants from concerned quarters.
Meanwhile, the SSGC has also decided to install 30 Liquefied Petroleum Gas (LPG) air mix plants in the provinces of Sindh and Balochistan.

The Economic Coordination Committee (ECC) of the Cabinet in its meeting held on October 31, 2016 approved the summary submitted by the Ministry of Petroleum and Natural Resources (MP&NR), regarding the installation of thirty 30 LPG-air mix plants in the provinces of Sindh and Balochistan by SSGC. The board also conceptually approved to invite tenders on engineering, procurement and construction (EPC) basis for establishment of the air mix plants as approved by the Economic Co-ordination Committee (ECC).