Pak-Arab Refinery Ltd (PARCO) has awarded oilfield services company TechnipFMC an engineering contract for a refinery at Hub near Karachi, Pakistan
PARCO said that the project will be the country's largest refinery and have a capacity of 250,000bpd.
The project will be operated and managed by PARCO Coastal Refinery Limited (PCRL), a unit of PARCO.
Pakistan has seen higher foreign investment inflow after it became a part of China's Belt and Road Initiative (BRI), a trillion-dollar infrastructure project aimed at connecting more than 60 countries in four continents.
"Given the rapidly increasing energy and fuel demand of Pakistan, this project is of great importance to improve the fuel supply situation and will support the continued economic growth of the country," Sikandar Sultan Raja, secretary, petroleum division and chairman, PCRL, said.
?This multi-billion dollar joint-venture project will further strengthen the relationship between our two brotherly countries. We believe, as the largest industrial project in Pakistan, it will deliver significant value for all stakeholders and provide numerous socio-economic benefits for the country?, said Khalifa Al Suwaidi, vice-chairman, PCRL.
"We understand the strategic importance of the long-term investment that PARCO is undertaking and are proud to be part of this project, which will help meet the fuel requirements of the country and contribute to the growth of PARCO and Pakistan", said Riccardo Moizo, senior vice-president, TechnipFMC Project Management Consultancy.