KARACHI: Pakistan’s largest bulk liquid chemical and liquefied petroleum gas (LPG) terminal operator plans to invest more than $200 million in expansion projects, including a proposed refrigerated LPG facility aimed at strengthening the country’s energy security, the company said on Thursday.
The planned investment was announced after Port Qasim Authority renewed the implementation agreement of Engro Vopak Terminal Limited (EVTL), a joint venture between Pakistan’s Engro Corporation and Dutch terminal operator Royal Vopak, allowing the company to continue operating Pakistan’s only integrated bulk liquid chemical and LPG terminal.
The announcement comes as Pakistan seeks to attract foreign investment and expand infrastructure under a broader economic reform agenda following macroeconomic stabilization achieved under an International Monetary Fund-supported program.
EVTL said the expansion plans would include a feasibility study for refrigerated LPG infrastructure, which would increase storage capacity and support more reliable fuel supplies in a country that relies heavily on imported energy. The company said the investment would exceed $200 million.
“This includes the setting up of refrigerated LPG infrastructure which will enhance energy security for Pakistan; a feasibility for this will soon be initiated,” EVTL said in a statement.
The company said the agreement renewal reflected the confidence of Royal Vopak, the world’s largest independent tank storage operator, in Pakistan’s regulatory framework and long-term economic potential.
According to EVTL, the terminal currently handles about 70 percent of Pakistan’s bulk liquid chemical imports and roughly 50 percent of marine LPG imports, serving industries including agriculture, textiles, construction, plastics and energy.
The company said its operations generate savings of approximately $500 million annually for Pakistan by providing import and storage infrastructure for critical industrial and energy products.
EVTL Chief Executive Officer Syed Ammar Shah said the agreement renewal would allow the company to continue supporting key sectors of the economy.
“EVTL is grateful to the Government of Pakistan for their trust, and for consistently prioritizing national interest through collaborative engagement with industry,” Shah said.
The company said the agreement renewal followed a transparent process involving multiple government institutions, adding that similar extensions of build-operate-transfer arrangements are common international practice for operators of critical infrastructure.
