PSO, AG sign MOU to develop LPG Autogas market

Date: August 27, 2009
PSO, AG sign MOU to develop LPG Autogas market

Pakistan largest oil marketing company, PSO, has signed a memorandum of understanding with Pakistan's largest LPG producer, Associated Group (AG) to jointly develop a sustainable LPG Autogas market.
 
The MOU was signed at the Ministry of  Petroleum & Natural Resources in the presence of Federal Minister Syed Naveed Qamar. PSO was represented by its
Managing Director Irfan Qureshi and AG by its Director Fasih Ahmed. PSO had solicited expressions of interest for this purpose in June 2008.
 
Under the MOU, it is envisioned that AG will establish LPG retail infrastructure at PSO retail outlets and provide year-round product at competitive prices. LPG was legalised
as an automotive fuel in 2005, but no LPG Autogas Station has yet come online in Pakistan.
Mr. Irfan Qureshi, MD, PSO said, “It is our pleasure to join hands with Associated Group (AG) which is the largest producer, transporter and marketer of LPG in Pakistan to set up LPG Auto Gas Stations. This MoU will pave way for the joint development of a safe and sustainable Auto gas market in Pakistan”.

Currently, consumers of LPG for automotive use rely on dangerous and illegal LPG decanters. Formalisation of the retail channel will ensure implementation of globally-applicable safety practices and stabilise prices. LPG is used as an Autogas throughout the world including in the UK, US, India, Sri Lanka, Turkey, Poland and Italy.