FWO awards Karachi-Hyderabad motorway contract to Mughal Steel

KARACHI: The Frontier Works Organization (FWO) has awarded the contract for the supply of steel bars for the development of Motorway (M-9) project from Karachi to Hyderabad to Mughal Steel.

A notice issued by the company to the Pakistan Stock Exchange (PSX) on Friday said that the in the first phase, the motorway project, which starts from Karachi Toll Plaza to Kotri interchange near Hyderabad, consists of eight interchanges, two service areas and six toll plazas. The work is being carried out under China-Pak Economic Corridor (CPEC), which would connect Gwadar with Khunjerab, the border area of China.

CPEC provides $46 billion investment for all the projects.

In Sindh, it includes motorway from Karachi to Hyderabad, Hyderabad to Sukkur and Sukkur to Multan. The work on the Karachi to Hyderabad motorway had already started, under which existing Super Highway is being widened along with the service lanes.

The motorway project is being considered as one of the most important projects in the history of Pakistan, as it would deepen and broaden the economic links between China and Pakistan. Last week, Prime Minister Nawaz Sharif inaugurated work from Sukkur to Multan, of which major portion of land had already been purchased.

A spokesman for the Mughal Steel said that the contract award exhibits the company’s potential to serve such national mega projects, which will further contribute towards growth.

The spokesman said that with a history of over 50 years of excellence to its credit, Mughal Iron and Steel Industries Limited (MISIL) is one of the leading companies of Pakistan in the iron and steel sector.

The company was incepted in early 50s in the form of a proprietorship firm with a purpose to uplift trade, contribute to the national economy and ensure industrial growth of the country, he said.

“The company is involved in multidimensional activities from making billets of mild steel, spring steel, deformed bar, re-bar, cold twisted rebar and a huge range of sections such as I.Beams, L.Sections, C.Section, H.Beam, T.Bar, etc. in the downstream industry,” the company said in its profile statement. “Over the years, Mughal Steel has emerged as a thriving progressive steel enterprise due to its ability to transform itself rapidly to meet the challenges of a highly competitive global economy.” Constant modernisation, introduction of state-of-the-art technology and being manned by the highly efficient and dynamic team of employees has enabled the company to stay ahead in the industry and successfully meet the expectations of all the customers, it said.

In its third quarter ended March 31, 2016, Mughal Steel announced a net profit of Rs652.25 million and earnings per share of Rs5.18.