The United Arab Emirates (UAE) will invest $5 billion in an oil refinery project in Pakistan later this year, reports Arab News on Friday.
In an interview with Arab News, UAE ambassador to Pakistan Hamad Obaid Ibrahim Salem Al-Zaabi said, “We are soon going to invest heavily in an oil refinery project in Hub.”
“It will be a $5 billion investment between the Mubadala Petroleum Company of Abu Dhabi, Pak Arab Refinery Limited (Parco) and OMV [OMV Pakistan Exploration Gesellschaft],” he said.
According to Arab News, Al-Zaabi said the project was the result of “extensive discussions” between Mubadala Petroleum, Pakistan’s petroleum ministry as well as Parco and OMV.
According to the UAE ambassador, “this project will demonstrate the strengthening of Pak-UAE relationship”.
He added that the two countries are moving forward in terms of new projects and investments.
Furthermore, the UAE ambassador said that the governments of both countries are finalizing details on the refinery project.
Hamad Obaid Ibrahim Salem Al-Zaabi said that several meetings had been held in this regard, adding that the UAE delegation led by Chief Executive Officer (CEO) of the Mubadala Petroleum Company during a visit to Pakistan had met Board of Investment (BoI) chairman and the petroleum minister.
It is to be noted that last year the UAE announced a US $3 billion deposit at the State Bank of Pakistan (SBP).
In this regard, the Emirates News Agency said that the UAE’s monetary policy is being assisted by the UAE based on historical relations between the two countries and their people.