PRE-BID MEETING FOR SALE OF MINIMUM OF 90% SHARES OF HAZARA PHOSPHATE FERTILIZERS (PRIVATE) LIMITED ON THURSDAY (June 5, 2008)

Islamabad, June 04, 2008

A pre-bid meeting of the pre-qualified bidders for the acquisition of minimum of 90% shares of Hazara Phosphate Fertilizers (Private) Limited (HPFL) together with management control on ‘as is, where is’ basis is being held in the conference room of the Privatisation Commission Secretariat, Islamabad on Thursday June 5, 2008 (tomorrow).

The PC had invited EOIs from prospective investors i.e. companies or consortia engaged in manufacturing or engineering business who can demonstrate the ability to own and efficiently manage and operate the Company. The plant is located at Haripur (NWFP) – 75 km from Islamabad. The factory is situated on 57 acres of developed land and includes plant, housing and ancillary facilities.

National Fertilizer Corporation of Pakistan (Private) Limited (NFC) owns Hazara Phosphate Fertilizers (Private) Limited. HPFL is a state owned private limited company, registered under the Companies Ordinance 1984. The authorized share capital of the company is Rs.200 million divided into 20 million ordinary shares of Rs.10 each whereas the issued, subscribed and paid up capital of the company is Rs.191.143 million comprising 19.143 million ordinary shares of Rs.10 each.

National Fertilizer Marketing Limited (NFML) is currently carrying out marketing of the product of HPFL. The Purchaser shall, however, be free to market the product using its own arrangement. The Government of Pakistan in order to encourage use of Phosphatic Fertilizers is currently providing a subsidy of Rs. 204 per bag effective from 1st July 2007. To improve the profitability of HPFL, Government of Pakistan and Government of NWFP are endeavoring to make available local phosphate rock as raw material through enabling environments for the private sector mining companies.