June 4, 2002	Tuesday	Rabi-ul-Awwal 22,1423

KARACHI, June 3: Some on-going oil and gas exploration projects, involving expertise of foreign consultants and vendors, are being delayed since the companies and even their countries have cautioned them to restrict their movements soon after May 8 bomb blast in Karachi and rising border tension between Pakistan and India.

Foreign consultants from countries like France, Germany, Britain, America, Australia, Austria and Canada have stopped coming to Pakistan since the war fear grips the region, Secretary General, Pakistan Petroleum Exploration and Production Companies Association (PEPCA), Brig (retd) Jamil Hassan told Dawn from Islamabad on Monday.

PEPCA is an umbrella organization of around 24 oil and gas companies.

It could not be known immediately that how many oil and gas projects were being delayed. “I cannot have these figures but it is confirmed that projects are being delayed,” he added.

However, PEPCA secretary said that “foreigners working in 24 companies are still here with their families.” But those oil and gas operations, which do not require foreign expertise and technical assistance, are running swiftly these days.

“We have not received any intimation from the energy related companies that the foreigners are leaving Pakistan,” he said adding “but definitely they are panicky and upset over the developments in the region.”

He said foreigners working in oil and gas companies are certainly considering to go back to their countries in case border situation further deteriorates.

The exact number of foreigners working in 24 oil and gas firms could not be known, but secretary PEPCA said that there must be over 100 foreign nationals.

It may be recalled here that these multinationals companies in energy sector had started staff evacuation soon after September 11 incidents, but none of them had declared force majeure, resulting in suspension of their oil and gas exploration and production activities in Pakistan. They came back in middle of October 2001.

Meanwhile, a senior official in Shell Pakistan Limited (SPL) said that the company has currently two foreigners, working in managerial positions and they are still here. “Business activities have been normal so far and their investment plans in Pakistan are also intact,” the official said. Shareholders of Shell, on September 10, 2001, had given a go ahead signal to their company for investing $32 million in the construction of white oil pipeline project. “Investment in this project will remain intact,” the official said.

The arrival and evacuation of foreigners could be gauged from their presence in city’s leading hotels.

“Room occupancy rate in hotels has dropped to 50 per cent from 75-80 per cent in normal days,” ex-chairman, Pakistan Hotels Association (PHA), Monsoon Akbar Ali said, linking the decline in business to May 8 incidents followed by hovering war clouds between Pakistan and India.

He said hotel business in entire country has been affected except for Islamabad. “There are hardly 10 per cent foreigners left in leading hotels of the country as compared to over 60 per cent in normal days,” he said.

Bookings for events of multinational firms, had already been cancelled since May 8 incident in Karachi.

A senior official in Tourism Information Centre South, PTDC, said arrival of foreigners has dropped phenomenally. Only three to four foreigners are arriving in a week since Daniel Pearl’s murder as compared to over 20 foreigners daily in normal days.

He said three Japanese came last week while three Bangladeshi visited the TIC office in Karachi a day back to enquire about tourism activities in Northern Areas and no “European and American tourists are calling at TIC.”

He said only local people are inquiring at the TIC as the peak season of tourism had started from May 1 to end of October. He said that the department is getting enquiries for PTDC resorts in Northern Areas from various local tourists.