Circular debt plan: OGDCL receives final payment
- Completes a total of Rs92 billion under the government's circular debt settlement plan, boosting energy sector stability
OGDCL received its final 7.725 billion interest payment from PHL, completing the government's 92 billion circular debt settlement plan for the energy sector.
- Government's circular debt settlement plan.
- Total interest payment received by OGDCL.
- OGDCL's historical role in Pakistan's energy sector.
Oil and Gas Development Company Limited (OGDCL) said on Wednesday it had received Rs7.725 billion from Power Holding (Private) Limited (PHL), its final interest payment under the government’s circular debt settlement plan.
The OGDCL disclosed in a notice to the Pakistan Stock Exchange today.
“A total interest amount of Rs92 billion has been received. The receipt of these funds reflects continued progress under the Government of Pakistan’s initiative to address and reduce circular debt within the energy sector,” the notice read.
READ MORE: Circular debt plan: OGDC receives 10th interest payment
In 2024, as part of the circular debt settlement plan, the government approved payment of Rs82 billion to OGDCL, representing the principal amount of the company’s investment in Privately Placed Term Finance Certificates (PPTFC) issued by PHL.
The government also approved repayment of interest of Rs92 billion in twelve equal instalments commencing from July 2025.
OGDCL was incorporated on 23 October 1997 under the Companies Ordinance, 1984 (now the Companies Act, 2017).
The company was established to undertake exploration and development of oil and gas resources, including production and sale of oil and gas and related activities formerly carried on by Oil and Gas Development Corporation, which was established in 1961.
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