ISLAMABAD, Jan 12: The National Assembly was informed on Monday that negligence on the part of staff of a gas company caused a massive oil spill in Karachi after a rupture in a Parco pipeline. It wasted 155 tons of crude oil worth $58,000.

In reply to a question of Dr Donya Aziz, Petroleum and Natural Resource Minister Syed Naveed Qamar said on Dec 17 last year workers of the Sui Southern Gas Company accidentally struck the pipeline of the Pak-Arab Refinery Limited while working to provide gas to a new CNG station in Korangi area.

The minister said that three employees of the SSGC had been suspended and action would be taken against the team or officers after completion of an investigation.

The repair of the pipeline took three-and-a-half hours during which a significant amount of crude gushed into the air to a height of 20-30 metres before flooding the roads and entering hundreds of homes, shops and public amenities. The oil damaged houses and shops and caused respiratory problems for residents of the area and contaminated soil, trees, plants and water reservoirs. Some 350 people, including children, were treated in a special health camp set up in the area.

According to an official report, imported crude oil coming from the Keamari port is transported to Parco’s oil refinery located at Mehmood Kot in Muzaffarabad district in Punjab through a 16-inch diameter pipeline laid about 30 years back, with the first pumping station -- which is also the master control centre -- located near PAF Korangi Creek. SSGC pipelines of 24-inch diameter also pass in the same right of way coming from Bin Qasim and going to the Korangi Thermal Power Plant of KESC.

The National Assembly was also informed that Pakistan International Airlines had suffered a loss of Rs38.4 billion during the first three quarters (Jan-Sept) of last year because of a change in the rupee/dollar rate (Rs22.8 billion) and increase in oil prices (Rs12.2 billion).