PULSE. PARCO Awards PMC Contract to TechnipFMC For Pakistan s Largest Refinery Project TOP STORIES

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1 PULSE Pak-Arab Refinery In-house Newsletter 2nd Issue PARCO Awards PMC Contract to TechnipFMC For Pakistan s Largest Refinery Project TOP STORIES 02 President of UOP Honeywell visited PARCO Headquarters 07 Horticulture Award Won by PARCO 04 PARCO Wins UNGC Best Business Practices Sustainability Award PARCO Files its 8th Communication on Progress Report Excellence in Women Empowerment Award

2 02 Pak-Arab Refinery In-House Newsletter President of UOP Honeywell visited PARCO Headquarters Dr. Rebecca Liebert, President of UOP Honeywell, visited Corporate Headquarters of PARCO. She was welcomed by Managing Director PARCO, Mr. Tariq Rizavi and senior management of the company. During her visit, a detailed presentation was given about PARCO s diversified operations, expansion strategy and future plans, to apprise the guest about Pakistan s largest petroleum conglomerate. Dr. Rebecca Liebert, President of UOP Honeywell photographed along with Managing Director PARCO, Mr. Tariq Rizavi and Senior Management of PARCO Launch of Excellium HOBC at TOTAL PARCO Pakistan Limited TOTAL PARCO launched its new product TOTAL Excellium HOBC in an auspicious ceremony held in Islamabad. Managing Director PARCO, Mr. Tariq Rizavi and Chief Executive Officer of Total PARCO, Mr. Olivier Sabrie also attended the ceremony. Mr. Shoaib Akhtar was selected as the Brand Ambassador of Excellium. MD PARCO, Mr. Tariq Rizavi photographed along with CEO TOTAL PARCO, Mr. Olivier Sabrie and Brand Ambassador of Excellium, Mr. Shoaib Akhtar

3 Pak-Arab Refinery In-House Newsletter 03 PARCO Awards PMC Contract to TechnipFMC for Pakistan s Largest Refinery Project Pak-Arab Refinery Ltd (PARCO) has announced the award to TechnipFMC, of a Project Management Consultancy (PMC) services contract, to carry out the management of pre-epc activities for a grassroot, fully integrated, deep conversion refinery to be constructed at Hub near Karachi, Pakistan. The project will be managed and operated by a wholly-owned subsidiary, PARCO Coastal Refinery Limited (PCRL). When completed the facilities will comprise a modern, deep conversion refinery with a capacity of 250,000 barrels per day, supported by associated marine loading facilities. It will be Pakistan s largest refinery and serve the rapidly growing domestic market for refined products. The agreement was signed on May 16, 2018, by Mr. Tariq Rizavi, Chief Executive Officer of PCRL, and Mr. Riccardo Moizo, Senior Vice President Project Management Consultancy of TechnipFMC. Mr. Sikandar Sultan Raja, Secretary Petroleum Division and Chairman PCRL, said, "Given the rapidly increasing energy and fuel demand of Pakistan, this project is of great importance to improve the fuel supply situation and will support continued economic growth of the country." This multi-billion dollar joint-venture project will further strengthen the relationship between our two brotherly countries. We believe, as the largest industrial project in Pakistan, it will deliver significant value for all stakeholders and provide numerous socio-economic benefits for the country, said Mr. Khalifa Al Suwaidi, Executive Director - Refining & Petrochemicals, Mubadala Investment Company and Vice Chairman PCRL. "We understand the strategic importance of the long-term investment that PARCO is undertaking and are proud to be part of this project, which will help meet the fuel requirements of the country and contribute to the growth of PARCO and Pakistan", said Mr. Riccardo Moizo, Senior Vice President TechnipFMC, Project Management Consultancy. PARCO is a 60:40 joint venture between the Government of Pakistan and Emirate of Abu Dhabi, through Mubadala Investment Company.

4 04 Pak-Arab Refinery In-House Newsletter PARCO Wins UNGC Best Business Practices Sustainability Award 2017 PARCO, an active member of the UN Global Compact (UNGC), has been awarded the UN Global Compact Best Business Practices Sustainability Award 2017 for the fourth consecutive time. The UN Global Compact Award not only acknowledges PARCO s commitment towards strategic and sustainable CSR, but also appreciates its efforts in reporting globally the practical implementation of SDGs through its various CSR projects. The Award nominees underwent a rigorous and documented process of successive stages of short listing by multi-disciplinary local and foreign experts, who assessed the performance of companies in each of the four areas of the UN Global Compact, namely Human Rights, Environment, Labor and Transparency. Mr. Aly Zaki Ansari, Deputy General Manager Technical, received the award from the Chief Guest, Mr. Rana Muhammad Afzal Khan, Minister of State for Finance and Economic Affairs, Government of Pakistan. Excellence in Women Empowerment Award On 21st March, 2018, Employers Federation of Pakistan (EFP) held a ceremony to mark International Women s Day. The purpose was to recognize business organizations having outstanding record of contributing to gender mainstreaming and women empowerment in their organizations. In this prestigious ceremony, PARCO was awarded with the Excellence in Women Empowerment Award in the category of Multinational Companies. On this occasion, DGM HR, Miss Sharon Dias received the award from the Chief Guest, Ms. Naheed Memon, Chairperson, Sindh Board of Investment. PARCO believes in providing equal employment opportunities with a safe and healthy working environment for its female employees.

5 Pak-Arab Refinery In-House Newsletter 05 Dr. Dieter Tuppinger, received the title Technical Advisor by Honorable President of Austria Dr. Dieter Tuppinger, Director, PARCO Board, received the title Technical Advisor by honorable President of Austria. The handover was celebrated by Minister of Economy, Dr. Margarete Schramböck in Vienna. This title is awarded to persons having outstanding technical expertise, scientific reputation and high professional appreciation. PARCO Participated in an International Conference titled 9pc GDP Next Level and Beyond Geo Network and Board of Investment organized an International Conference titled 9pc GDP Next Level and Beyond. Prime Minister, Mr. Shahid Khaqan Abbasi, Federal Minister for Finance, Dr. Miftah Ismail, ambassadors of Germany, Japan, Britain, China, Turkey and representatives of various international companies were among the prominent guests at the occasion. From PARCO, Mr. Zawar Haider, General Manager Marketing and Commercial, participated as a panelist in the conference. Along with GM (M&C), Mr. Zawar Haider, CEOs of major oil and gas companies of Pakistan were among the panelists of the discussion on Overcoming Gas Shortage and Future Prospects. In this panel discussion, Mr. Zawar Haider presented his views on the refining sector of Pakistan and PARCO s significant role as the largest petroleum conglomerate.

6 06 Pak-Arab Refinery In-House Newsletter PARCONIANS Family Day 2018

7 Pak-Arab Refinery In-House Newsletter 07 PARCO s Corporate Garden receives Gold Medal from Horticulture Society of Pakistan PARCO has been winning awards for its Corporate Garden for the last several years. During the Flower Show, PARCO again secured the first position for its Corporate Garden in the competition arranged by the Horticulture Society of Pakistan. Section Head Administration, Col. Salman Ahmed, received the award on behalf of PARCO. In a separate ceremony, Managing Director PARCO, Mr. Tariq Rizavi, distributed prizes amongst the gardeners of the Corporate Garden, to recognize their hard work and untiring efforts in order to win this award for several consecutive years. Hi-Tea at PARCO Corporate Garden

8 08 CSR Pak-Arab Refinery In-House Newsletter PARCO Files its 8th Communication on Progress Report 2018 PARCO joined United Nations Global Compact in the year 2010 and since then has taken significant strides in CSR and sustainable corporate performance. Not only does PARCO continue to exceed its operational, revenue and profit targets, the company has also received national and international recognition for its achievements as a Responsible Corporate Citizen. The Global Compact follows a reporting policy known as the Communication on Progress (COP) according to which member organization files an annual report on their initiatives. PARCO submitted its eighth Communication on Progress (COP) in March The annual posting of the COP is an important demonstration of an organization s commitment to the UN Global Compact and its principles. Our COP report illustrates PARCO s commitment to UNGC s Ten Principles and the management systems, actions and performance of PARCO. The filing of our COP would not have been possible without the steady support and hard work of all Focal Persons involved from various Departments and Divisions throughout PARCO. The data presented in our COP is the key element that makes PARCO s COP unique, insightful and award winning. The latest COP is available for public viewing on PARCO s official website. Increased Stakeholders Involvement and Engagement in CSR A CSR Meeting was held at TS-4 Machhike to increase involvement of all stakeholders at various stations of PARCO s Pipeline Network. All Stations In-charges of Pipeline Division attended the session. Ms. Saba Ahmed, Corporate Communication and CSR, highlighted the Management s commitment for successful implementation of CSR Projects all across Pakistan. She also shared details of different social investments being made by PARCO, mainly in education, health and community development sectors. The participants discussed valuable suggestions to make PARCO s CSR initiatives more meaningful for the adjacent communities of their respective stations.

9 Pak-Arab Refinery In-House Newsletter PIPELINE 09 62nd Inter Station and 31st Management Review Meetings at Machhike 62nd Inter Station and 31st Management Review Meetings were held at Machhike Station. DGM (Pipeline), Head Security, Manager (HSE), Manager (C&ES), Chief Engineer (South), Chief Engineer (North), Chief Security Officer Pipeline, Chief Engineer (HSE), Section Head (HR), ME Legal Cell & all Station In-charges, DMRs (OHS, QMS & EMS), IMS Coordinator, IMS Document Controller and all Zonal Team Leaders attended the meetings. Mr. Adil Aziz Khan, Deputy General Manager (Pipeline), reviewed operational performance and appreciated the overall performance of Pipeline departments. He discussed various operational issues and their possible solutions for further improvements in the system. Different presentations were made by the departments to highlight, both, the achievements and areas of improvements in their respective stations/departments. DGM Pipeline, Mr. Adil Aziz along with the participants of the meeting In-House Development of Alternate Local Control Center (ALCC) For uninterrupted and reliable operations of White Oil Pipeline, Telecom SCADA under the supervision of SCADA Engineer, Mr. Ahmad Rafique, developed an Alternate Local Control Center (ALCC) for AMCC, Mahmoodkot. After comprehensive testing and monitoring, it was handed over to operations department. This independent new system can receive real time data from WOTS-3 plant and NOV/CP sites with a huge saving of Rupees Three Million.

10 10 Pak-Arab Refinery In-House Newsletter Mock Drill on Emergency Preparedness A mock drill in case of medical emergency was conducted at WOTS-1, Port Qasim Station. The drill was organized in collaboration with Descon Engineering Limited, EPC Contractor of WOP MOGAS Project (WOPMP). The purpose of the drill was to prepare the WOPMP execution team for emergency situations and to ensure their emergency response and preparedness in the project. Training Session on Awareness, Transition and Internal Auditing at Mahmoodkot IMS Section of Pipeline Division arranged a one-week training on Awareness, Transition & Internal Auditing of ISO 9001:2015 and ISO 14001:2015 Standards at Mahmoodkot Training Center. Mr. Shahzad Khalid of the United Registrar of Systems (URS) Pakistan facilitated the session of 30 participants from Pipeline Division. Participants were apprised about the Guidelines for Auditing Management Systems. It was based on the revised standards of ISO 9001:2015 (QMS), ISO 14001:2015 (EMS) & OHSAS 18001:2007. Refurbishment of Tank A-006 at Keamari Station S&T Maintenance Department of Pipeline Division performed on time maintenance activity of crude storage tank A-006 of MT capacity at TS-1 Keamari. This process involved cyclic maintenance through extensive repairing activities like cleaning of the tank, sand and garnet blasting, application of epoxy paint coating, replacement of top platform, wind girder and major portion of the roof. These maintenance activities help to protect the tank walls from corrosion. Modern Non-destructive Techniques (NDTs) including magnetic flux leakage, magnetic particle inspection, vacuum-box technique and settlement survey were also performed for internal and external inspection of the tank.

11 Pak-Arab Refinery In-House Newsletter M&C 11 28th Bi-Annual Sales Conference at Karachi The 28th Bi-Annual Sales Conference of M&C Division was held at Pearl Continental Hotel, Karachi. It was chaired by General Manager (Marketing & Commercial), Mr. Zawar Haider and attended by Manager Marketing, Mr. Munawar Ahmad, Manager Crude Oil and Pricing, Mr. Abdul Qadir, Country Sales In-charge, Mr. Bashir A. Swati, all Regional Sales In-charges and Sales Support staff from all across Pakistan. Manager Marketing, Mr. Munawar Ahmad, welcomed all participants and thanked GM (M&C) for his continuous guidance and support to Marketing Department. In his opening address, Mr. Zawar Haider emphasized on continuous improvement in procedures and effective Sales Force Management. He encouraged the Sales In-charges to set higher milestones for sales of all products throughout the year. Mr. Haider reiterated that higher sales targets can be achieved by keeping the sales teams motivated, fully energized and ready to meet higher targets. He also briefed about some of the future initiatives and projects being undertaken by PARCO. During the sessions, all Regional Sales In-charges presented their bi-annual performances. Mr. Bashir A. Swati, Country Sales In-charge, highlighted the issues in Sales Management and suggested various steps to further improve sales performance in future. During the 2nd session, MPS Group presented Operational Issues and their Solutions. Mr. Abdul Qadir, Manager Crude Oil and Pricing, gave a detailed presentation on Pakistan Energy Review He discussed Refinery Challenges for FO Sales and PARCO s Proposed Crude Mix for 2018 and onwards. The sessions were concluded with a vote of thanks from Manager Marketing.

12 12 Pak-Arab Refinery In-House Newsletter Officials of MOL Pakistan Limited and Bakri Energy Limited visited PARCO Corporate Headquarters On 13th February, 2018, Officials from MOL Pakistan Ltd including Mr. George Tilley Head of Commercial, visited PARCO Corporate Headquarters. The officials were greeted by General Manager (M&C) Mr. Zawar Haider & Manager Crude Oil & Pricing, Mr. Abdul Qadir. The guests were briefed about PARCO and its diversified company operations which enabled it to become the largest petroleum conglomerate in Pakistan. Managing Director Bakri Energy (Pvt) Limited, Mr. Javed Alam, along with Senior Officials also visited PARCO and met with GM (M&C), Mr. Zawar Haider. In the meeting, they discussed matters of mutual business interests regarding product purchases from MCR, Countrywide supply chain of Petroleum products and Pipeline Projects. M&C Sales Team Visits To strengthen our business relationship with Interloop Power Plant as a customer of PARCO Furnace Oil, PARCO Sales Team comprising of Mr. Bashir A. Swati, Country Sales In-charge, along with Mr. Masood Ahmed, Chief Engineer and Mian Mudassar Shah, Sales In-charge Faisalabad, visited Interloop Power Plant, Faisalabad. Interloop Power Plant is a leading hosiery manufacturing and exporting company and has installed 15.4 MW power plant.

13 Pak-Arab Refinery In-House Newsletter MCR 13 Home Safety Awareness Session at MCR Housing Complex In order to spread awareness about safety at home amongst the residents of Housing Complex at Mid Country Refinery, the HSE department organized a Safety Awareness Session at the Auditorium. The objective was to provide awareness to the children and families about the preventive measures, which can be taken to promote safety culture. The one-hour session was structured on six brief presentations pertaining to incidents like open electrical boxes, over speeding, storing MOGAS containers in houses, fire extinguishers, car scratching and cleanliness in housing complex. A safety quiz was also a part of the session in which the kids participated actively. Effective videos on over speeding, kitchen fire and fire extinguisher usage were also shown during the session. In-house Fabrication of Heat Exchanger Bundles Mechanical Maintenance Workshop at Mid Country Refinery (MCR) has successfully manufactured high quality heat exchanger U-Tube bundles. In this process, latest tools were used for tube bending and manufacturing of tube sheets. Mechanical workshop has also fabricated tube bundles of 284-E4 (Recycle Gas Cooler) and 820-E55 (Re-generator Re-boiler) completely. This in-house fabrication solution has saved a huge cost of Rs 16 million. General Manager Refinery, Mr. Syed Ali Abid Naqvi, visited the mechanical workshop and appreciated the efforts and hard work of Mechanical Department (MCR) on this achievement. These commendable efforts reflect PARCO s vision of diversification and integration by using advanced technology and adopting best industry practices.

14 14 Pak-Arab Refinery In-House Newsletter Successful IMS Recertification of MCR on Revised Standards PARCO Mid Country Refinery (MCR) has successfully achieved re-certifications of ISO on the revised versions of Quality Management System (ISO 9001:2015), Environmental Management System (ISO 14001:2015) and Occupational Health & Safety Management System (OHSAS 18001:2007) Standards well ahead of time. The ISO 9001 and ISO standards were last revised in the year 2015 and were due to be re certified on updated standards by September, To recognize the efforts of MCR team, a cake cutting ceremony was arranged in the Refinery building. On this occasion, Manager HSE and GM Refinery highlighted the IMS framework of MCR and appreciated the IMS team and all concerned departments on successful recertification. Once again PARCO took the lead in successful implementation of various requirements in order to get the IMS recertification on the revised standard well ahead of the due date. Another Step to Inculcate Self Reliance Realizing the needs of Vocational Training Centers in Mahmoodkot areas, PARCO has supported Mahmoodkot Vocational Training Center for the last several years. This year again electrical toolkits, sewing and embroidery machines have been distributed amongst the graduating students to further help them achieve the self-reliance. Mr. Syed Ali Abid Naqvi, General Manager Refinery, along with Mr. Nadeem Ajwad Chishti, Section Head Administration, distributed sewing and embroidery machines and toolkits among the graduates in a distribution ceremony held at Mahmoodkot VT I.

15 Pak-Arab Refinery In-House Newsletter PPGL 15 Cricket Tournament at PPGL An exciting Cricket Tournament was organized at Model Town Greens Cricket Club, Lahore, by HR team of PPGL. Three teams namely, PPGL Kings, PPGL United and Pindi Boys participated in the event. A total of four matches were played in the tournament. All teams played with great zeal and tough competitions were seen during the matches. The tournament was won by PPGL United. At the end, prize distribution ceremony took place. Mr. Burhan Uddin won the Man of the Match Award. HR Cancer Awareness Session at PARCO PARCO HR-Medical Section arranged a Cancer Awareness Session under its Health Awareness Program. Dr. Moeenuddin Qureshi, Chief Medical Officer, delivered a lecture at the Corporate Headquarters, detailing the types, stages and causes of cancer. The purpose of the session was to raise awareness of cancer and to encourage its prevention, detection and treatment. A large number of PARCO employees attended and actively participated in the session. MISC. Training Sessions on Cash Purchase at Stations were organized by Materials Department. Miss Amna Ameen conducted these sessions at various stations Mr. Muhammad Abdul Qayyum Khan, Manager - Information Technology, received the Award for Best IT Manager in Unified Communication Category for Oil & Gas by Polycom

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