Business

Circular debt: OGDCL struggling to escape

A senior official of the Petroleum Ministry said that the company wants early settlement of the entire circular debt

Our Correspondent February 11, 2017

A senior official of the Petroleum Ministry said that the company wants early settlement of the entire circular debt.

ISLAMABAD: The country's largest oil and gas explorer, Oil and Gas Development Company Limited (OGDCL), is caught in a mounting circular debt that may hamper its exploration projects.

A senior official of the Petroleum Ministry said that the company wants early settlement of the entire circular debt that has put the company in a liquidity crunch, making it difficult for it to move to different oil and gas exploration projects.

During the last one year, the company has shown progress and its crude oil production touched 50,000 barrels per day due to focus on expediting oil and gas exploration activities.

Now, he said that the company is showing concern over the circular debt, saying that it would not only affect the ongoing development and exploration activities but many projects would also remain in the doldrums.

Published in The Express Tribune, February 11^th, 2017.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.