White Oil Pipeline Project

Promoter – Financial Intermediary

Pak-Arab Pipeline Company Limited (PAPCO), which is a joint venture between PARCO, Shell, Pakistan State Oil and Caltex.

Location

• Pakistan

Description

Construction and operation of 817 km of an oil pipeline for the transportation of white oil products from Karachi to Mahmood Kot, near Multan.

Objectives

Contributing towards meeting growing demand for oil products in the Central and Northern regions of the country, using an efficient and secure transport system.

Comments

Oil and Gas

Sector(s)

• Energy

Proposed EIB finance (Approximate amount)

EUR 45 million

Total cost (Approximate amount)

EUR 546 million

Environmental aspects

The project is expected to result in environmental benefits, as it will reduce significantly road transportation of white oil products over long distances.

Procurement

PARCO was selected to operate the project through international competitive bidding.

Status

Signed - 4/08/2003