KARACHI: Hascol Petroleum Limited (Hascol), an oil marketing company, has partnered with Total Parco Pakistan Limited to operate its oil storage facilities on a cost-sharing basis in Sahiwal, Punjab and Daulatpur, Sindh.
“Hascol has entered into a joint operations agreement with Total Parco Pakistan Limited (TPPL) wherein TPPL will buy assets worth Rs400 million from the company (Hascol) at its Sahiwal and Daulatpur oil storage depots,” Hascol Company Secretary Zeeshan Ul Haq said in a notification to the Pakistan Stock Exchange (PSX) on Thursday.
Stock exchange replaces four companies in KSE-30 Index
“Both companies will undertake their operations jointly at Sahiwal and Daulatput oil storage depots and will share the costs on throughput basis respectively,” he said.
The transaction is subject to approval from the Oil and Gas Regulatory Authority (Ogra) and other regulatory authorities, if required, he said.
Taurus Securities said in a comment “this (transaction) would result in a one-off gain which remains contingent on carrying value of the said assets”.
Market watch: KSE-100 closes fourth consecutive session in red
“This would lower the operational costs of running storage facilities as the company would share its’ costs with TPPL,” it added.
Hascol’s share price dropped 1.33%, or Rs3.61, to close at Rs267.03 with 58,800 shares changing hands on Thursday.
Published in The Express Tribune, February 16th, 2018.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.