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Pak convinces Saudi to set up $12 bn refinery, petrochemical complex

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The Shehbaz Sharif government has succeeded in persuading Saudi Arabia to revive a major project shelved during the PTI government and establish a state of the art deep conversion refinery along with a petrochemical complex in Pakistan.

A high-powered delegation of the kingdom, headed by Crown Prince Mohammad Bin Salman, is coming to Pakistan in the last week of November during which a formal announcement is expected in this regard, The News reported.

The Pakistani side, according to the report, made huge efforts to persuade the kingdom to honour the MoUs and invest in the South Asian nation.

Islamabad also put its weight behind Riyadh, which has locked horns with Washington over the cut in oil supply in the international market, The News reported.

In February 2019, during the visit of Mohammad Bin Salman to Pakistan, Saudi Arabia signed MoUs for an investment of $21 billion in various sectors of the economy, including for the project of a deep conversion refinery and petrochemical complex with an investment of $12 billion.

The Saudi oil giant Aramco also conducted a study in this regard which found that setting up a refinery in Gwadar was not feasible.

However, it can be established at Hub, Balochistan, or near Karachi, the official said, The News reported.

Later, when the ties of Imran Khan’s government got strained with Saudi Arabia, the top decision-makers of the kingdom virtually put MoUs of $21 billion on the backburner signed in February 2019, the official said.

Now in the latest scenario, the official said, the Ministry of Petroleum is working on an upgrade of the draft for the refining policy to allure investment for setting up new refineries.

The government is making up its mind to offer the investors profitability at 14-15 per cent against the offer of 9 per cent, earlier offered in the draft for refining policy prepared by the PTI government, apart from increasing the tax holiday’s scope.

The government also wants investment from China for a refinery and to this effect, Prime Minister Shehbaz Sharif, during his upcoming visit to China, will offer Beijing to set up a refinery in Pakistan.

International News

Yemen Houthis claim major missile, drone attack on Saudi air base

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Sanaa, Sep 14: Yemen Houthi group said Monday that it had launched dozens of ballistic missiles and drones at a major military air base in southwestern Saudi Arabia, marking a significant escalation in the widening cross-border confrontation.

In a statement carried by Houthi-run al-Masirah TV, military spokesperson Yahya Saree said the group fired dozens of ballistic missiles and drones at King Khalid Air Base in Khamis Mushait, a southwestern Saudi city near the Yemeni border.

Saree said the operation targeted fighter-jet hangars, radar systems, runways, ammunition depots and other military facilities at the base, claiming that the strikes were “precise and direct” and caused significant damage, Xinhua News Agency reported.

There was no immediate comment from Saudi authorities on Monday’s Houthi claims or information on possible casualties and damage.

Saree said the operation was carried out in retaliation for what the group described as an intensifying Saudi air campaign across Yemen, claiming that Saudi F-15 and Typhoon fighter jets had conducted more than 300 airstrikes on several Yemeni provinces in recent days.

He warned that the Houthis would continue launching attacks deep inside Saudi territory as long as airstrikes on Yemen continue, saying any further escalation would be met with broader military operations.

The claim came amid a sweeping Houthi offensive launched on Sept. 3 that has rapidly redrawn front lines along Yemen’s Red Sea coast, with the group capturing several government-held areas in the Red Sea Hodeidah province and neighboring southwestern Taiz province.

The Houthis captured the strategic port city of Mocha on Thursday before pushing south into the Bab al-Mandab Strait area and seizing Mayun Island at the heart of the strait, tightening their grip on the vital shipping chokepoint connecting the Red Sea with the Gulf of Aden.

Following the advance on Friday, the Houthis said international navigation through the strait remained “free, safe and smooth,” while stressing that Saudi vessels remained excluded under a maritime ban the group imposed on July 20.

Yemen’s conflict erupted in late 2014 when the Houthis seized Sanaa and much of northern Yemen, prompting a Saudi-led coalition to intervene in March 2015 in support of the internationally recognised government.

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International News

Iran says Oman meeting postponed at Saudi Arabia’s request

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Tehran, Sep 14: Iran’s Foreign Ministry spokesman Esmaeil Baghaei said on Monday that a meeting between the foreign ministers of Iran and Gulf states scheduled to be held on the same day in Oman was postponed at Saudi Arabia’s request.

He made the remarks at the weekly press conference in the Iranian capital Tehran after Omani Foreign Minister Sayyid Badr bin Hamad Al Busaidi announced the meeting’s deferral the previous day in a post on social media platform X.

Baghaei rejected “incorrect” reports that the meeting was postponed due to the ongoing developments between Saudi Arabia and Yemen’s Houthis, describing such speculation as “giving a wrong address.”

The meeting was originally scheduled to be held in the Omani City of Salalah on Monday.

“In the interests of consensus, the regional meeting set for tomorrow in Salalah has been postponed,” Omani FM Al Busaidi said on X.

“We remain committed to fostering dialogue that supports stability and lasting cooperation in our region,” he added.

Confirming the meeting’s deferral in an interview with Iran’s official news agency IRNA, Mohammad Ali Bak, director general of the Persian Gulf at the Iranian Foreign Ministry, said it was postponed to another date at some regional countries’ requests and based on a joint decision by Iran and Oman.

The official stressed that Iran is in close consultations with Oman to ensure the necessary arrangements and coordination regarding the appropriate time for holding the meeting, Xinhua News Agency reported.

Baghaei on Friday announced that Gulf littoral states’ foreign ministers were scheduled to meet in Oman on Monday to exchange views on regional issues, including the Iran-Oman talks on designating safe routes in the Strait of Hormuz.

Speaking to the media on Saturday, Baghaei said the gathering would “hopefully” be attended by foreign ministers from Gulf states as well as Iran and Iraq.

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International News

Meeting between Iran, Gulf states scheduled in Oman postponed

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Muscat/Tehran, Sep 14: A meeting between Iran and Gulf states scheduled to take place in the Omani city of Salalah on Monday has been postponed, according to a social media post by Omani Foreign Minister Sayyid Badr bin Hamad Al Busaidi on Sunday.

“In the interests of consensus the regional meeting set for tomorrow in Salalah has been postponed,” Al Busaidi said on X.

“We remain committed to fostering dialogue that supports stability and lasting cooperation in our region,” he added.

Confirming the meeting’s deferral in an interview with Iran’s official news agency IRNA, Mohammad Ali Bak, director general of the Persian Gulf at the Iranian Foreign Ministry, said it was postponed to another date at some regional countries’ requests and based on a joint decision by Iran and Oman.

The official stressed that Iran is in close consultations with Oman to ensure the necessary arrangements and coordination regarding the appropriate time for holding the meeting, Xinhua News Agency reported.

Iran’s Foreign Ministry spokesman Esmaeil Baghaei announced on Friday that Gulf littoral states’ foreign ministers were scheduled to meet in Oman on Monday to exchange views on regional issues, including the Iran-Oman talks on designating safe routes in the Strait of Hormuz.

Speaking to media on Saturday, Baghaei said the gathering would “hopefully” be attended by foreign ministers from Gulf states as well as Iran and Iraq.

Meanwhile, Iraq announced on Sunday a phased reopening of three major border crossings with neighbouring Iran, following administrative and technical reviews to enhance security and streamline border movement.

According to a statement by the Security Media Cell (SMC), affiliated with the Iraqi Joint Operations Command, the decision was made under the directives of Iraqi Prime Minister Ali al-Zaidi to upgrade organisational and technical infrastructure at the Shalamcheh, Mandali, and al-Sheeb border crossings.

Under the schedule, passenger travel through the al-Sheeb and Shalamcheh border crossings resumed at 6 am on Sunday, while commercial trade activities at Shalamcheh will resume on Monday, followed by Mandali on Tuesday and al-Sheeb on Thursday, the statement said.

The SMC emphasised that trade and passenger movement with Iran at the Zurbatiyah and al-Munthiriya crossings have remained unaffected and continue to operate around the clock.

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