Islamabad: Pakistan has signed an agreement with a Chinese firm to build an oil refinery near Kohat. The state news agency, quoting sources in the Khyber Pakhtunkhwa Oil and Gas Company Limited, said that a memorandum of understanding has been signed with the country.
The oil refinery is to be built over land of two hundred acres land and will cost $300 million over four years.The refinery will produce 15,000 barrels of oil per day when completed.
In May, Pakistan and China signed a series of agreements in Beijing for cooperation in different sectors.Three agreements pertaining to economic and technical cooperation worth 3.4 billion Yuan for Gwadar port and East Bay expressway were signed, according to media reports.
Memorandums of Understanding (MoUs) related to cooperation within the framework of the Silk Road Economic Belt and the 21st century Maritime Silk Road initiative, upgrading the main railway line track ML-I, and the establishment of Havelian Dry Port were also signed.
Pakistan also signed a MoU with China’s e-commerce giant Alibaba Group on May 16. Federal Minister for Commerce Khurram Dastagir inked the MoU from Pakistan’s side, while Prime Minister Nawaz Sharif was a witness to the ceremony.