Privatization of Pakistan State Oil Company (PSO)
The Government of Pakistan intends to divest a 51% shareholding in PSO to a qualified investor. The consortium that KGL Petroleum helped to form has qualified as a potential bidder to participate further in the PSO privatization process. PSO is the largest oil marketing company in Pakistan with a market share of over 78% in Black Oil and around 57% in White Oil. PSO also has 65% market share in Petroleum Oil and Lubricant (POL) products sold in the local market. The company is the leading player in the retail sector with a market share of approximately 45% in motor gasoline and 59% in diesel oil. PSO has a vast infrastructure of 9 installations and 23 depots with a total storage capacity of 81% of country’s storage capacity. Also it has a well laid out pipeline infrastructure between Port Qasim terminal and its major installations including Zulfiqarabad Oil Terminal (“ZOT”), Pipri Marshalling Yard (“Pipri”) and Buffer terminal. The company has its supply chain supported by a strong tank-lorry fleet and railway wagons, with an ERP solution from SAP implemented at all locations. As of April 2007, PSO had a market capitalization on the Karachi Stock Exchange of approximately $1 billion. |
