Pakistan State Oil’s Board has approved renewal of the PSO ARL agreement for five years, covering 1 July 2025 to 30 June 2030. The third addendum to the Sale Purchase Agreement (SPA)—the contract that sets how petroleum products are bought and sold between the two firms—keeps supplies flowing from Attock Refinery Limited (ARL) while tightening rules on quality, temperature and how volumes are measured.
A note put before the Board said the aim is continuity of product from ARL, stronger commercial safeguards for PSO, and fewer disputes over quality and delivered volumes. The earlier second addendum ended on 30 June 2025. The companies then negotiated revised commercial, operational and technical terms.
How the renewal was cleared
PSO’s Supply Chain Committee recommended the revised package on 13 November 2025. The Management Committee endorsed it on 23 February 2026. On 26 March 2026 that committee told the Supply Function to put the finalised addendum before the Board of Management for approval.
The Board cleared execution of the third addendum for the full five-year window and authorised PSO’s chief executive officer, or an officer he nominates, to sign and to settle non-material wording or minor adjustments at signing. The arrangement is to operate under the laws of Pakistan.
Higher volumes for petrol, MTT and jet fuel
Under the renewed PSO ARL agreement, selected monthly allocations rise. Motor gasoline (PMG)—ordinary petrol—moves from a minimum monthly band of 12,000–15,000 metric tonnes to 14,000–16,000 metric tonnes. MTT rises from 50–100 metric tonnes a month to 250–300 metric tonnes.
For the first time the SPA also sets a monthly Jet A-1 range of 9,000–11,000 metric tonnes, giving a clear aviation-fuel commitment. PSO’s note said the operational procedures were updated to match current industry practice and to improve oversight of product received from ARL.
Tighter checks on quality, temperature and quantity
Products must settle for at least 24 hours before delivery. Petrol temperature must stay at least 3–5 degrees Celsius below its Initial Boiling Point (the temperature at which it starts to boil). White oils—high-speed diesel (HSD), kerosene (SKO), Jet A-1 and light diesel oil (LDO)—must stay within five degrees Celsius above or below ambient temperature, using sensors at ARL’s pumping station.
Volume conversion to litres at 85 degrees Fahrenheit will follow ASTM D4057 and formula C-410, to cut calculation gaps. Initial and final tank dips, temperatures and densities will be recorded jointly and will be the final reference if tank figures and custody-transfer meters disagree. ARL’s delivery tanks must be sealed and dedicated to PSO until pumping ends. PSO may witness sampling, with tests at its laboratory before loading.
A side letter from ARL says HSD flashpoint—the temperature at which vapours can ignite—will stay in the historical range that averaged 64 degrees Celsius from July 2024 to June 2025. Independent meter proving is due every three months, with data shared with PSO; drift of plus or minus 0.25 per cent triggers tank-dip reconciliation. Weighbridges need valid third-party calibration certificates, endorsed yearly by the Weights and Measurement Department. PSO staff will get annual security cards for ARL’s Key Point 1-A site, renewed every six months under ARL’s security rules.
Timeline: what has happened so far
- 30 June 2025: The second SPA addendum between PSO and ARL expired.
- 1 July 2025: The renewed five-year period under the third addendum begins (through 30 June 2030).
- 13 November 2025: PSO’s Supply Chain Committee recommended the revised commercial, operational and technical terms.
- 23 February 2026: The Management Committee endorsed those provisions.
- 26 March 2026: The Management Committee directed that the finalised addendum go to the Board for approval.
- Board decision (2026): The Board approved execution of the third addendum and authorised the CEO or a nominee to sign.
PSO’s management expects clearer visibility on temperature, quality and quantity, and clearer steps when the two companies disagree. The renewal is meant to lock in a stable sourcing link with ARL for another five years after the previous addendum lapsed.
Aasan alfaaz mein
PSO ne Attock Refinery ke sath petrol aur related products ka Sale Purchase Agreement paanch saal ke liye dobara manzoor kar liya hai. Ye deal 1 July 2025 se 30 June 2030 tak chalegi, aur petrol aur jet fuel ki mahana supply pehle se zyada set ki gayi hai. Quality, temperature aur naap-tol ke rules sakht kiye gaye hain taake dispute kam hon. Aam logon ke liye seedha matlab ye hai ke refinery se PSO tak fuel supply ka bandobast zyada clear aur lambi muddat ka ho gaya hai.
