$6.3 billion deal signed with ETON : AsiaNet-Pakistan

$6.3 billion deal signed with ETON

December 11, 2013 | General Business News | Share:

Karachi, December 11, 2013 (PPI-OT): Three separate Memorandum of under standings (MoU) with total investment of $6.3 billion were signed between Government of Sindh and Japan based company ETON to invest in priority projects of energy, infrastructure, and mass transit in a simple but impressive ceremony held at CM House Karachi today.

The Director General Sindh Board of Investment (SBOI) Mr. Riazuddin Qureshi and The Chief Executive ETON Company Mr. Shageston Kono signed on behalf of government of Sindh and ETON Company respectively.

The Chief Minister Sindh Syed Qaim Ali Shah, The Sindh Minister for Transport Mumtaz Jakhrani, The Sindh Minister Information Shajreel Inam Memon, The Sindh Minister Food Jam Mehtab Dahar, The Advisor to Chief Minister for Finance Syed Murad Ali Shah, The Provincial Secretary Energy Agha Wasif Abbas, Secretary Transport Mr. Tuaha Ahmed, Secretary Finance Sohail Rajput, Secretary to CM Rai Sikandar and other officers of related Deptt witness the ceremony.

The first MoU was signed by both parties showing the interest of ETON in assuming equity in both Sindh Engro Coal Mining company (SECMC) and Thar Power Company (TPC)and provides entire debt to the two companies by investing $ 1.6 Billion to participate in the construction of 600 mw power project at mouth of Thar Coal mining.

The Second Signed MoU aimed to invest in another Coal based power project for installation of two separate 660 mw power plant at Katti Bandar on Public Private Partnership with investment of $ 2.2 Billion Dollar. This power plant will later be expanded to produce 6600 mw after successful commissioning of the First phase of 2 X 600 mw.

The Project will cater for a Jetty, a transmission line, 235 Km rail track and other infrastructure facilities. The Jetty will initially be used for import of general cargo and coal, till the Thar coal fields are fully exploited and after that the jetty would be used to export of Thar Coal. Lying of 335 km. Railway track for transportation of Coal from Thar coal mines and 500/750 kv Ac/d Transmission lines from Keti Bandar Power Plant to Thatta for onward power supply to Karachi and from Keti Bander to Jam Shoro connecting with the rest of country will also be the part of this project.

The investment of 2×660 mw, power plants construction of Jetty, Transmission lines and rail track along with other infrastructure facilities is estimated $ 2.2 Billion. The Third MoU was signed to make investment up to $ 4.5 Billion in a JICA recommended Karachi Mass Transit Project (KMTP). In this project JICA has recommended Six (6) priority Bus Rapid Transport (BRT) lines and two light Rail Transport (LRT) lines besides revival of Karachi Circular Railway KCR with estimated capital expenditure of about 4.5 Billion US Dollar.

The ETON signed MoU in the project along with Government of Sindh and to provide entire debt to the project. The Sindh Government in the leadership of Chief Minister Sindh Syed Qaim Ali Shah has decided to pursue the projects of energy, infrastructure, Mass Transit and many other projects which to directly benefit to people, accelerate economic activities and generate a great number of income and employment opportunities.

Meanwhile the Chief Minister Sindh Syed Qaim Ali Shah has invited the foreign investment companies for their investment, specially to convert the street lights of Karachi and other big cities of province into solar energy and producing solid waste based energy there so that increasing burden of electricity consumption be declined and people be provide relief accordingly This he said while talking to the Ambassador of Italy Mr. Adriano Chiodi who called on him at CM House this evening.

The Chief Minister Sindh said that Sindh Province was blessed with multi indigenous resources for generating electricity which include 180 Billion tons of qualitative coal resources, powerful wind corridor, 70% gas reserve. He said that in addition to that Sindh has good potential in Agro products and we are self sufficient in producing wheat Rice, Sugar cane fruits and vegetable specially delicious Mangoes.

He said that through various investment companies from China, Japan, Turkey, United Kingdom and USA have made investment to exploit untapped indigenous sources of energy but still there was great potential for investment in Coal, Wind and solar based energy here in Sindh.

He said that Italy has also specialization in the preservation of heritage and Sindh was rich in heritage specially needs help in preservation of Moen-Jo-Daro and Bhanbhore Archaeological sites in addition to their investment in Solar and Solid waste based energy in big cities of the Sindh.

The Ambassador of Italy while talking on the occasion said that there were many companies in Italy interested in the investment in Karachi. He said that we have good relations with Government and people of Pakistan. He said that Businessmen of Italy wants promote the trade and Business activities with people of Sindh. He said that Italy has specialization in various field and our companies are ready to contribute in the development of Pakistan and Sindh.

For more information, contact:
Mr. Allah Bachayo Memon
Press Secretary
Chief Minister House
Tel: +9221 99202019
Cell: +92300-3524057 (Ext: 336)


Category: General Business News