Expanding OMC operations: HTL to develop oil storage depot in Sindh

Hi-Tech Lubricants Limited (HTL) is set to expand its operational footprint in Sindh by constructing an oil storage depot on 8.7 acres of land in Daulatpur, Shaheed Benazirabad, Nawabshah. This strategic move is part of HTL's broader plans to broaden its network of retail fuel stations throughout the province. The acquisition, announced to the Pakistan Stock Exchange (PSX) on Wednesday, is viewed as a critical step in the company's growth trajectory.

The depot's primary function will be to provide the necessary storage and supply-chain support for HTL's proposed expansion of its retail fuel station network in Sindh. The development will be subject to all necessary regulatory approvals and requirements. HTL believes that the new depot will bolster its operational presence in the southern region of Pakistan, improve supply-chain efficiency, and facilitate the phased roll-out of its retail network in the province.

The location of the depot is particularly advantageous, as it will enhance the availability of petroleum products, reduce logistical lead times, and support the addition of new retail fuel stations in the region. This depot development will not only bolster HTL's OMC segment but also strengthen the company's long-term geographical diversification and market presence in southern Pakistan.

All construction activities will adhere to the guidelines set by the Oil and Gas Regulatory Authority (OGRA) and other pertinent regulatory bodies.