Pakistani gas companies to invest Rs 112539 million to ensure gas supply to CPEC SEZs, others

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Islamabad: Pakistani state owned gas companies – the Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) – will spend Pakistani Rs 112539 million in the current fiscal year ending in June 2022 to mainly facilitate gas supply to the China-Pakistan Economic Corridor (CPEC)’s Special Economic Zones (SEZs), official details released here showed.

The SNGPL is constructing a 12-kilometer pipeline to supply 30 Million Cubic Feet Per Day (MMCFD) gas to CPEC’s Rashakai SEZ. The project is expected to be completed by the end of December, 2021, according to the official details.

Another 20-km pipeline is being laid to provide 40 MMCFD gas to CPEC’s Allama Iqbal Industrial City SEZ, which is scheduled to start in the first quarter of 2022.

A separate 2-km supply line had already been laid to supply 5 MMCFD gas to Allama Iqbal Industrial City on a temporary basis.

The second state owned company, SSGC has also got approval for laying an 8.7-km pipeline to supply 10 MMCFD gas to Bostan SEZ in the Balochistan province at an estimated cost of Pakistani Rs 731.447 million.

The SNGPL and SSGC would lay around 18,731- km pipelines in their respective areas to strengthen the transmission and distribution networks for the consumers during the current fiscal year.

On the SSGC network, a 3.5-km pipeline would be constructed at a cost of Rs 149.41 million for supplying 13 MMCFD gas to Bin Qasim Industrial Park, Karachi.

During the current fiscal year, the two companies would collectively invest Rs 17571 million on transmission projects, Rs 91812 million on distribution projects and Rs 3156 million on other projects, bringing the total investment of Rs 112539 million, said the official data.