Oil from Saudi oil facility to arrive by end of March

Ambassador of the Kingdom of Saudi Arabia in Islamabad Nawaf bin Saeed Al-Malkiy, and Dr Saud Ayid R Alshammari, Director General of Saudi Fund for Development (SFD) called on Federal Minister for Economic Affairs Omar Ayub Khan to discuss Saudi oil facility, bilateral economic cooperation, on-going development projects, and new initiatives.

Under the Saudi oil facility, the Pak-Arab Refinery Limited (PARCO) and the National Refinery Limited (NRL) will import petroleum products up to $100 million per month from Saudi Arabia up to $1.2 billion on one-year deferred payment basis.

As per the agreement signed in November 2021, the SFD will extend financing facility up to $100 million per month for one-year for purchase of petroleum products on deferred payment basis. The SFD will keep its margin of 3.80 percent per annum. The agreement may be extended for another one year with mutual consent.

During the meeting the Ambassador assured that the Kingdom is willing to play a much more active role in the socio economic development of Pakistan. It was further informed that the SFD will also finance the construction of Mohmand Dam Project, Shounter Hydropower Project, Jagran-IV Hydropower Project (22 MW), Shagarthang Skardu HPP (26MW), Attaabad, Hunza HPP (32.5MW), Gravity Flow Water Scheme Mansehra, and Abbottabad-Muzaffarabad Road Project.