ARL unit back online

KARACHI: Attock Refinery Limited (ARL) has resumed operations of its main unit following an improvement in the upliftment of High-Speed Diesel (HSD), the company said on Wednesday.The refinery had shut down its main unit last month due to a drop in demand for HSD, which had been supplanted in the market by a large supply of smuggled Iranian diesel.

"We wish to inform you that recently some improvement has been observed in uplifting of High-Speed Diesel (HSD). Accordingly, ARL has restarted its main unit, however, the situation is being closely monitored with respect to product demand," the refinery said in a statement to Pakistan Stock Exchange.

The first week of May saw a surge in the demand for HSD, with daily sales jumping to almost 29,000 tonnes, nearly double the average of 15,000 tonnes per day in the previous months.Industry officials attribute this surge in sales to the harvesting season and actions taken against smuggled Iranian diesel. They noted that while the demand for HSD has increased, it is still being met primarily by oil marketing companies (OMCs), which are the main suppliers of HSD in the market.

Although refineries have seen some improvement, it is not up to satisfaction, and they are closely monitoring the situation to see how it evolves in the coming days.