AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: The Hub Power Company (HUBC) is exploring various strategic options to expand its business portfolio and address energy challenges in Pakistan, according to management discussions with CEO Kamran Kamal and CFO Muhammad Saqib. The company is considering initiatives such as setting up an aluminum smelter and developing a single point mooring (SPM) for petroleum imports, while its partnership with BYD in the electric vehicle sector shows promising growth.
HUBC’s management emphasized that the company’s financial position has improved, particularly with better recoveries from coal-fired power plants, due to timely government subsidies and a lower interest rate environment. This improvement comes amid ongoing discussions concerning power circular debt resolution, which will be handled at the governmental level.
The company’s exploration of a potential aluminum smelter capitalizes on its extensive industrial land at its base plant in Hub. The initiative aims to utilize Pakistan’s bauxite reserves and existing transportation infrastructure, which could potentially integrate the value chain in the future.
In addition, HUBC is considering a project to import petroleum products through an SPM on the Hub coast. This plan would involve forming a joint venture and integrating existing infrastructure to facilitate the import and transportation of petroleum products.
HUBC’s partnership with BYD, the largest electric vehicle company in Pakistan, is experiencing significant market demand. The company plans to start local assembly of BYD vehicles by the second half of 2026, alongside developing the country’s first extensive EV charging network from Karachi to Peshawar.
On the financial front, HUBC’s two coal-based plants are poised to declare their Project Completion Date soon, which will enable them to announce dividends. The company also has plans for participating in an offshore bidding round through its oil and gas joint venture, Prime International.
HUBC’s history of diversification is evident in its investment in coal power plants and exploration and production ventures. Currently, the company is investing in the mining sector and exploring opportunities such as participating in the privatization of Pakistan International Airlines (PIA) as part of a consortium.
The management’s strategic direction reflects HUBC’s commitment to growth and diversification, aiming to leverage its assets and partnerships to address energy challenges and expand its market presence.