All set to save USD200m annually after revival of JJVL gas plant

ISLAMABAD: Pakistan is set to save approximately USD 200 million annually in foreign exchange following the revival of the long-idle Jamshoro Joint Venture Limited (JJVL) gas processing plant, a strategic energy project restored with the support of the Special Investment Facilitation Council (SIFC) after remaining shut for nearly five years.

The revival of JJVL is being viewed as one of the key achievements of SIFC’s efforts to facilitate investment and restore stalled projects of national importance.

The plant, Pakistan’s first gas processing facility equipped with advanced Ortloff technology for the extraction of Liquefied Petroleum Gas (LPG), has now resumed operations, contributing to the country’s energy security and economic recovery.

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According to official details, the prolonged closure of the plant deprived the country of approximately 317,000 tonnes of locally produced LPG and resulted in an estimated economic loss of Rs94 billion. The shutdown also increased reliance on imported energy products, putting additional pressure on the country’s foreign exchange reserves.

To address the issue, SIFC initiated coordinated efforts in 2024 to resolve longstanding challenges surrounding the project and facilitate its revival through engagement with relevant stakeholders.

As a result of these efforts, the project has been successfully restored and reintegrated into Pakistan’s energy supply chain, supporting the government’s broader objective of maximizing the utilization of indigenous energy resources and reducing the import bill.

Chairman of Associated Group, Iqbal Z. Ahmed, acknowledged SIFC’s role in the revival of the project, valued at more than USD 250 million.

“SIFC helped us revive this project, which had remained closed for five years. Without the council’s support and guidance, it would not have been possible to restore a project of such national importance,” he said.

He noted that the revival of JJVL would generate annual foreign exchange savings of nearly USD 200 million by reducing dependence on imported LPG and enhancing domestic production capacity.

Ahmed further said that the project’s restoration has created employment opportunities for around 5,000 people, both directly and indirectly, while stimulating economic and industrial activity in the region.

Officials said the revival of the plant demonstrates the effectiveness of SIFC’s facilitation model in addressing bottlenecks, restoring investor confidence and accelerating the implementation of strategically important projects.

They added that the resumption of operations at JJVL will contribute to greater energy self-reliance, support industrial growth and strengthen Pakistan’s efforts to achieve sustainable economic development through the revival of key national assets.

Copyright Business Recorder, 2026