Concerns over crude handling capacity persist | Pakistan Today

Concerns over crude handling capacity persist

Some crude handling capacity may become unavailable during 2013 to 2015 due to scheduled maintenance at Karachi Port Trust’s Oil Pier number 1. Moreover, increase in POL product demand and refining capacity in the future is likely to exert stress on the existing cargo handling infrastructure. Currently, the combined cargo handling capacity for POL products at ports is 33.0 million MT (24.0 million MT at Keamari and 9.0 million at FOTCO). However, handling capacity for crude is significantly lower (6.9 million MT at Keamari; 0.6 million MT at FOTCO).
This was stated in Annual Report 2010-11 by State Bank of Pakistan. The report further stated that to improve cargo handling capacity for crude imports, enhancement in infrastructure is urgently needed. Specifically, introducing night time navigation and increasing the draft of FOTCO can immediately improve cargo- handling capacity.
The options that need to be explored are: Single-Buoy Mooring4t (SUM) at HUB connecting the Byco refineries for crude imports; white-oil pipeline link between KPT and FOTCO for effective utilisation of KPT’s three modem oil piers, to provide KPT access to PAPCO’t product terminal, and reduce ship demurrages; second berth at FOTCO to handle rising P0 demand for power generation.
It is to be noted that Pakistan meets majority of its crude oil imports from Middle East, and the main suppliers include Saudi Arabia, UAE and Iran. Pakistan National Shipping Corporation (PNSC) maintains 3-4 dedicated tankers capable of delivering 600,000 MT of crude on average every month. At present, crude oil and product imports can only be handled at two terminals: Keamari and FOTCO (Port Qasim). Both pods are located in Karachi and connected via 25 km pipeline (capacity 2.0 million MT per month). The pipeline is primarily used for upcountry movement of imported POL products (particularly diesel), through linked pipelines at FOTCI. Majority stake in the pipeline is held by Pak-Arab Pipelines (51 per cent) while PSO, Shell and Chevron hold the remaining shares. PARCO, PRL and NRL are linked with this pipeline.

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