PPL BoD approves funding of GoB’s share

RECORDER REPORT

KARACHI: The Board of Directors of Pakistan Petroleum Limited (PPL) has approved, in-principle, funding of the Government of Balochistan’s (GoB’s) share of capital contribution in the BLZ Project by the Company.

The Company shall arrange funding, from its own cashflows, for GoB’s capital contribution through a financing arrangement, material information sent to Pakistan Stock Exchange on Tuesday said.

Debt servicing would be through GoB’s share of project cashflows. To this end, a Financing Agreement shall be executed by the Company with GoB, subject to all requisite approvals, including but not limited to, the approval of the Balochistan Provincial Cabinet and the shareholders of the Company.

The Company, vide letter dated 13th December 2021 had disclosed grant of a large scale Mining Lease for Lead and Zinc, in district Khuzdar, by the Government of Balochistan (GoB) and execution of a Large Scale Mining Lease Deed in this regard, for large scale mining and establishment of a Lead-Zinc processing plant in district Khuzdar, Balochistan (BLZ Project) over an area covering 30 Sq.km (7413.16 acres), and that the lease shall be operated by Bolan Mining Enterprises, a 50:50 Joint Venture between the Company and GoB.