PIPELINE NETWORK
Pipeline is the cheapest, safest and securest mode of [petrol, oil and lubricants] POL transportation, but
Pakistan has not been able to transform this advantage to its own benefit.
As per the OCAC, transporting oil by road costs Rs2,628 per tonne compared to Rs792 per tonne via
pipeline. The primary means of transportation to oil depots/installations right now is by road but this
needs to change in the long run.
This means transporting oil through pipeline to the installations and depots. Thereafter, the secondary
transport to retail outlets will necessarily still be by road but the majority volumes would have been
transferred via pipeline.
PARCOs cross-country network of pipelines, including those of its subsidiary PAPCO, starts from
Karachi and goes up to Machhike near Lahore, covering over 2000 kilometres. These pipelines have
played a major contribution in protecting the environment of our country and reducing congestion on
the roads by substituting thousands of tank lorries. As this silent river of fluid energy flowing
underground, much of the noise, fatalities and pollution on the surface, thefts and contamination of the
product have become a thing of the past.
KARACHI-MAHMOODKOT (KMK) PIPELINE
The 870-km Karachi-Mahmoodkot (KMK) Pipeline, commissioned in 1981, transports crude from Karachi
to Mahmoodkot near Multan for its Mid Country Refinery. Its initial annual pumping capacity of 2.9
million tons has been upgraded and KMK is now capable of pumping up to 6 million tons per year.
MAHMOODKOT- FAISALABADMACHHIKE (MFM) PIPELINE
PARCO commissioned 362-km Mahmoodkot- FaisalabadMachhike (MFM) Pipeline, in 1997 to transport
refined products like diesel and kerosene to Faisalabad and Machhike near Lahore. MFM has designed
pumping capacity of approximately 3.7 million tons per year.
WHITE OIL PIPELINE
The US$ 480 million, White Oil Pipeline is the mega infrastructure project owned by Pak Arab Pipeline
Company Limited (PAPCO). After conversion of PARCOs existing pipeline network for Crude Oil
transportation, the White Oil Pipeline (WOP) is catering to transport diesel to the central regions of
Pakistan; which account for almost 60% of the total Petroleum consumption in the country.
For the implementation of the 786 km White Oil Pipeline Project (WOPP) from Karachi to Mahmoodkot,
a joint venture company, Pak-Arab Pipeline Company Ltd. (PAPCO) was created. PARCO holds a 51%
majority share in PAPCO while Shell, PSO and TOTAL PARCO Marketing Limited (formerly known as
Chevron Pakistan Limited) hold 26%, 12% and 11% shares in equity respectively. The 26 dia White Oil
Pipeline is designed for a capacity of 12 million tons per year, starting with 5 million tons in the initial
years.
KORANGI-PORT QASIM LINK (KPLP) PIPELINE
The 22-km Korangi-Port Qasim Link (KPLP) Pipeline was laid by PAPCO, linking PARCOs Korangi station
with PAPCOs Port Qasim station was commissioned in 2006. This tactical link has connected both the
Karachi ports (Keamari & Port Qasim) with PARCO & PAPCO pipeline systems, providing flexibility in
pipeline operations to receive crude as well as product from either port.
PARCOs Pipeline System includes a network of highly sophisticated Telecommunication facilities and a
comprehensive Supervisory Control And Data Acquisition (SCADA) System.
PARCOs pipeline network is a critical and efficient life support system for the Central and Northern
areas of the country. In addition to its strategic nature, it is contributing to the national exchequer not
only through payment of attractive dividends, taxes and import duties but also by delivering major
savings in freight expenses.
