Engro Powergen Qadirpur Limited owns and operates a 226.5 MW power plant, capable of being fuelled with diesel and low BTU permeate natural gas from the Qadirpur field. Gas supplier, Sui Northern Gas Pipelines Limited, had advised that due to depleting permeate gas reserves at Qadipur field, such gas would need to be comingled with gas supplied from an alternate source for the plant to continue to be operated using natural gas as a fuel.
We advised Engro Powergen Qadirpur Limited on the proposed operation of its 226.5 MW power plant on regasified LNG as a supplementary fuel to permeate gas. The GOP’s decision not to opt for termination of the Implementation Agreement or buy-back of the project on grounds of depletion of permeate gas is in line with its policy of minimizing its role in the management of electricity generation in favour of private sector participation in the power industry.
The team advising Engro Powergen Qadirpur Limited on this matter was led by Senior Partner Hasnain Naqvee.
For further details, please see: https://www.brecorder.com/news/40176991