Pakistan Refinery Limited receives Engineering, Procurement, Construction, and Finance bids for expansion project

Pakistan Refinery Limited (PRL) has officially received bids for its Refinery Expansion & Upgrade Project (REUP) under the Engineering, Procurement, Construction & Finance (EPCF) framework, according to a filing at the Pakistan Stock Exchange (PSX) on Monday.   

The disclosure, made in compliance with the Securities Act 2015 and Pakistan Stock Exchange regulations, highlights that PRL is currently evaluating the bids and will provide necessary updates as the process unfolds.  

“Pakistan Refinery Limited (PRL) has received Engineering, Procurement, Construction & Finance (EPCF) bids for its Refinery Expansion & Upgrade Project (REUP). PRL is in the process of evaluating these EPCF bids and will provide further updates in due course as necessary,” read the notice sent to the PSX.   

Industry analysts see this development as a crucial step towards strengthening Pakistan’s refining capabilities, ensuring better efficiency, and meeting growing energy demands. 

Pakistan Refinery Limited, a subsidiary of the government-owned Pakistan State Oil Company Limited (PSO), is engaged in the production and sale of petroleum products. 

In February 2025, the PRL board approved a Rs3.15 billion loan from its parent company, Pakistan State Oil Limited (PSO), to fund the Front-End Engineering Design (FEED) phase of the REUP. 

Earlier in 2022, PRL signed an agreement with Wood Group UK Limited (Wood) in Dubai, appointing them as the Front End Engineering Design (FEED) Contractor for its Refinery Expansion and Upgrade Project (REUP). 

This project entails doubling the crude processing capacity from 50,000 barrels per day to 100,000 barrels per day and upgrading the refinery from hydro skimming to deep conversion thus significantly reducing production of High Sulphur Furnace Oil (HSFO) and maximising production of environment friendly EURO V standard premium products such as High-Speed Diesel (HSD) and Motor Spirit (MS/Petrol). 

The upgraded complex will also produce propylene which is a valuable feed stock for petrochemicals. Project cost, currently estimated at approximately $1,200 million, will be finalised at the completion of FEED followed by award of Engineering Procurement & Construction (EPC) contract.