ISLAMABAD, May 11: The Privatization Commission Board here on Saturday recommended to the Cabinet Committee on Privatization (CCoP) to approve the upwardly revised 143 million dollars bid for Badin-1 oil field.

The Board meeting, which was presided over by Minister for Privatization Altaf M. Saleem also finalized its recommendations for approval of CCoP to privatize the improved 2 million dollars Turkwal gas field.

BP Pakistan Exploration & Production Inc, UK and Occidental Oil & Gas Pakistan LLC jointly being the highest bidder for Badin-I had improved their original offer of $131.5 million to $143 million and the highest offer made for Turkwal by Attock Oil, UK of $1.6 million to $2 million respectively.

According to a PC announcement, the efforts made in this regard had resulted in an addition of $11.9 million in the offers by the two bidders. The CCoP had already approved the highest bids received for Badin-II (Revised), Pariwali, Adhi, Ratana and Dhurnal concessions, aggregating to $42.891 million. PC Board appreciated the position and decided to make a positive recommendation to CCoP for the revised offers.

The CCoP had directed PC to resubmit the position in the concessions namely, Badin-I, Minwal, Mazarani and Turkwal, in its next meeting after final response from the bidders in the light of the bidding instructions. PC Board observed that this was the first major transaction of the Oil & Gas sector and its successful conclusion would provide strong impetus to other upcoming transactions especially in the Oil & Gas sector.

The meeting observed that the privatization of United Bank Limited (UBL) was progressing satisfactorily and was on schedule.

The progress regarding the disinvestment of the remaining shares in Bank Alfalah (formerly Habib Credit & Exchange Bank) was also noted by the Board. After the successful IPO whereby 10 per cent shares were offered to the general public at par with a view to widening and broadening the ownership base, the divestiture of additional 5 per cent shares of National Bank of Pakistan (NBP) through an offer for sale of shares on the basis of market price was recommended. The status regarding the divestiture of 49 per cent shares of Allied Bank Limited (ABL) was also reviewed.

The meeting constituted a four-member committee headed by Mr. Saquib Sherazi, member PC Board to pre-qualify the parties for Pak Arab Fertilizers Limited (PFL).

The other members include senior representatives from Ministries of Industries, Finance and PC. The pre-qualification committee will review the Statements of Qualification being submitted by the prospective bidders to pre- qualify those who meet the qualifying criteria set out in the RSOQ for PFL. The Board gave the go-ahead for the divestment of Management Rights of Investment Corporation of Pakistan for Lot ‘A’, consisting of 12 Mutual Funds. Members, PC Board, Federal Secretaries of Ministries of Petroleum and Natural Resources, Water and power, Industries and Production, Housing and Works, senior representatives of Finance Division, State Bank of Pakistan, SECP, ICP and PC officials were present during the meeting.