Data Room for Due Diligence of PSO Opens

Islamabad, September 5, 2002

Data Rooms for the due diligence of Pakistan State Oil (PSO) by the pre-qualified parties has been opened at Karachi.

Privatisation Commission had earlier invited Expression of Interest (EOI) from interested parties to participate in the privatisation process of PSO in March and April this year. The Government of Pakistan intends to sell 51 % equity stake in Pakistan State Oil (PSO), together with management control to a qualified strategic buyer.

PSO is the largest oil marketing company (OMC) in Pakistan and is engaged in the storage, distribution marketing of petroleum products, with more than 3800 retail outlets spread across the country. For the fiscal year ended June 2002, PSO, generated sales revenue in excess of Rs. 182 billion (US $ 3. 1 billion).

PSO is the third largest publicly listed company in Pakistan by equity market capitalization and a recipient of Karachi Stock Exchange Top 25 Companies award for 17 consecutive years. 

Annual demand for petroleum products in Pakistan is approximately 18 million tons. Currently there are five Oil Marketing Companies operating in Pakistan with PSO commanding a substantial share of the market.

To make the Privatisation Program successful and beneficial Government of Pakistan is continuing its structural reform program for Oil & Gas sector under a phased deregulation process that includes the formation of an independent Oil & Gas Regulatory Authority.