KARACHI, Jan 5: Chairman Iran Foreign Investment Company Darvishzadeh has said that the company is keen in setting up a refinery, and naphtha cracker plant in Pakistan. During a meeting with Minister of Petroleum and Natural Resources Amanullah Khan Jadoon here on Friday he said that setting up of a joint venture investment company was a far-reaching step towards promoting multi-dimensional cooperation between the two countries at a fast pace.

Welcoming the Iranian dignitary the minister said that there existed a lot of potential for the joint venture company’s investment in oil refineries, LNG, LPG, CNG, coal power generation, gas pipeline and mineral projects.

He said that the government would welcome joint ventures' maximum participation in the oil and gas development activities for their mutual advantage.

Jadoon said that the government had finalised an ambitious energy plan to utilise the vast mineral deposits of Thar, Lakhra and Soda Jerruk for power generation up to 20,000 MW by the 2020 and added that the joint venture could also benefit the two countries by learning a lot from each others experience in coal power generation sector.

The Iranian delegation also called on Minister of Privatisation and Investment Zahid Hamid. Speaking at the meeting the minister said that the Pak-Iran Investment Company, a joint venture between the two governments, will open a new era of further cementing and strengthening economic bonds between the two friendly and neighbouring countries.

The minister assured Pakistan's full support to make the investment company an effective tool for investors of both the countries.

It would generate economic activities for both by identifying new areas for investment and would benefit people of both the countries, he added.

Zahid Hamid said that Pakistan's investment friendly policies had yielded good results as witnessed during the FY 06, which touched the record level of $3.5 billion. The accelerating trend was also evident during the first half of the current fiscal with the FDI till December reaching close to $3 billion.

He pointed out that Pakistan pursued a comprehensive and broad-based privatisation programme, which provided exciting and attractive opportunities. The PC Ordinance 2000 has given statuary cover to the whole process, he added.

The minister informed the delegation that the country's economy was growing at the rate of 7 per cent, which is expected to continue. Pakistan has so far privatised 162 public sector units raising $7 billion since 1991, while 87 per cent of the privatisation was completed during the recent seven years realising around $6 billion.

The leader of the delegation Darvishzadeh informed the minister that an agreement has already been inked to set up a joint venture investment company and his present visit was focused on taking concrete steps for its implementation.

The company would be established with an asset of $25 million, which both the governments would equally share, he added.

He said, “We intend to invest outside Iran in the power, petrochemical and other sectors and would identify new areas and sectors for investment.”

The delegation members lauded Pakistan's economic achievements and desired to benefit from its privatisation experience.

The other members of the delegation included Seyed Mansoor Mir Abedeni, deputy chairman Iran Foreign Investment Company; Dr Morteza Adel Gholamzadeh, the law consultant; and Mashaallah Shakeri, Ambassador of Iran to Pakistan.—APP