Pakistani gas company discovers 1.5-km illegal pipeline in Islamabad

Workers from Sui Northern Gas Pipeline Limited excavate the road to eliminate a 1.5-kilometer illegal gas pipeline in Islamabad, Pakistan on December 8, 2023. (Photo courtesy: Shahid Akram)
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Updated 10 December 2023
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Pakistani gas company discovers 1.5-km illegal pipeline in Islamabad

  • Illegal gas pipeline extended from a village to a private housing society, says SNGPL spokesperson
  • Pakistan’s Federal Investigation Agency has initiated an inquiry, action will follow, warns SNGPL official

ISLAMABAD: A Pakistani integrated gas company said on Sunday had discovered a 1,500-meter (1.5-kilometer long) illegal gas pipeline this week in Islamabad, warning that legal action will be taken against those involved in installing the pipeline.

Pakistan faces ongoing struggles to meet the rising demand for natural gas due to the country’s growing energy needs and supply-demand disparities. Domestic natural gas production in Pakistan declined by about five percent last year, according to the country’s energy ministry. About 25 percent of Pakistan’s natural gas consumption relies on imported Liquefied Natural Gas (LNG).

To enhance electricity and gas supply while reducing losses, Pakistan’s caretaker government launched a nationwide crackdown against gas theft in September. Through the crackdown, the SNGPL said it had disconnected hundreds of illegal gas connections across the country.

The Sui Northern Gas Pipeline Limited (SNGPL) discovered the illegal pipeline extending from Japan Road Kangota Syedan Village to a private housing society in Islamabad, SNGPL Islamabad spokesperson Shahid Akram said.

“Based on the SNGPL vigilance team’s report, a joint operation involving our task force teams and the Federal Investigation Agency (FIA) officials was conducted on December 8 to dismantle an illicit 1500-meter gas pipeline,” Akram told Arab News.

The spokesperson said someone from the private housing society, which he did not specify by name, installed the illegal pipeline. He said gas meters were also shifted to the newly established society from another area in a bid to give off the impression that the society had access to gas.

Akram said this was done to falsely raise the prices of the plots in the housing society.

“We have completely dismantled the pipeline and removed the gas connections while the FIA is currently investigating and seeking to identify culprits within and outside the department,” Akram said.

He said that based on the FIA’s report, a First Information Report (FIR) would be registered against those found guilty.

“Departmental actions will be taken if individuals within are found involved, but so far no arrests have been made as the FIA is verifying facts before proceeding with a proper FIR,” Akram said.

He said the SNGPL was closely coordinating with the FIA and is committed to taking action against those involved in installing the illegal gas pipeline. 

Akram said the SNGPL has a vigilance team that monitors a specific area and gathers information on illegal activities. He said the vigilance team refers its discoveries to another team: the Unaccounted For Gas (UFG) action team. 

The UFG team, he clarified, conducts raids in collaboration with the FIA. 

“Our ongoing campaign against gas theft and illegal connections is yielding positive results where we have recovered millions in outstanding payments and disconnected many illegal connections,” Akram said.


In a first, Pakistani corporate dairy farm to make $8.9 million market debut next month

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In a first, Pakistani corporate dairy farm to make $8.9 million market debut next month

  • Ghani Dairies to issue 104.2 million new shares, with most offered via book building
  • Company supplies milk to large processors including Nestlé Pakistan and Fauji Foods

KARACHI: Ghani Dairies Limited, a Pakistani corporate dairy farming company, plans to raise about Rs 2.5 billion ($8.9 million) through an initial public offering, in what would be the country’s first listing by a large-scale, automated dairy farm, its advisers said on Tuesday.

The company will issue 104.2 million new shares, representing 24.28 percent of its post-IPO paid-up capital, with 75 percent of the offering allocated through book building and the remainder offered to retail investors, according to a statement by JS Global Capital, the consultant to the issue.

The floor price has been set at Rs 24 per share, and the issue will be fully underwritten.

“This is not just a dairy farm, but a vision for Pakistan’s dairy future,” said Hafiz Avais Ghani, chief executive officer of Ghani Dairies, adding that the company aimed to expand capacity to better serve industrial clients and the broader market.

Ghani Dairies operates a fully automated dairy farm using imported high-yielding cattle and digital herd-management systems, supplying milk primarily to large food and dairy processors.

Its expansion plan includes the import of 1,250 dairy cows, construction of additional milking and heifer sheds, storage facilities and the installation of modern feeding and milking systems.

The company’s customers include Nestlé Pakistan, IRC Dairy, and Fauji Foods, according to the statement.

Khalil Usmani, chief executive of JS Global Capital, said the IPO would give investors exposure to a modern, corporate dairy operation at a time when demand for higher-quality milk and value-added dairy products was rising.

Book building for the offering is scheduled for Feb. 2–3, with the public offering expected to follow on Feb. 9–10, the statement said.