ECC approves renewal of SSGCL-FFBQL gas supply agreement
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The SSGCL may restore the gas supplies to Fauji Fertilizer till December, 2021
ISLAMABAD (Dunya News) – The Economic Coordination Committee of the Cabinet (ECC) Wednesday approved the proposal of Petroleum Division for renewal of gas supply agreement (GAS) between Sui Southern Gas Company Limited (SSGCL) and Fauji Fertilizer Bin Qasim Limited (FFBQL).
After a detailed discussion, the ECC meeting chaired by Minister for Finance and Revenue Dr Abdul Hafeez Shaikh, approved with a condition that the renewal would be allowed on “as and when available basis” for a period of five years.
FFC plans to set up new DAP plant
Seeks government commitment of natural gas at concessionary rates
ISLAMABAD:
Fauji Fertilizer Company (FFC) is planning to set up new DAP plant on concessionary rates in a bid to boost local production to meet shortfall.
FFC is a sister company of Fauji Fertilizer Bin Qasim Limited that is producing DAP locally.
In this regard, the Fauji group approached the Petroleum Division seeking government commitment of 30mmcfd natural gas at a concessionary rate of $0.77 per mmbtu for the first 10 years as it planned to set up a new DAP production plan for a total of 20 years under the Fertilizer Policy 2001.