Vox Markets Logo

Oracle Power's coal site in Pakistan recognised as potential fertiliser project

15:18, 19th November 2019
Francesca Morgan
Company News

UK energy developer, Oracle Power’s (ORCP) Thar Block VI Coal Project in Pakistan has been acknowledged as a potential coal gasification into fertilizer projects by an intra-government initiative between Pakistan and China.

This consideration regarding the Thar Block VI site was made at the 9th Joint Cooperation Committee Meeting ("JCC") on the China-Pakistan Economic Corridor on 6th November 2019.

The initiative represents a broader Pakistan initiative to address the anticipated 2.6Mtpa shortfall of urea by 2026-2027.

The use of lignite via the gasification process in urea production is significant in addressing the anticipated shortfall, supporting the critical agricultural sector in Pakistan.

Both Chinese and Pakistani government representatives noted Block VI’s inclusion, expressing a desire to undertake a feasibility study for further evaluation.

ORCP price chartOracle has also been in discussion with various state-owned enterprises in both Pakistan and China, those of which had previously expressed  interest in offering financial and technical support in the event that Block VI was transformed into a fertiliser initiative.

Oracle says the initiative has the potential to have a “transformational impact” on food security in Pakistan, as well as, in the Board's view, marking “a hallmark moment” for the group.

“The potential scale and opportunity of this development is truly significant, especially given the potential synergies with our ongoing development of coal mine and mine mouth power,” commented Naheed Memon, Chief Executive of Oracle.

Oracle’s Block VI coal resource maintains a JORC resource estimate of 529Mt and significant additional potential -- the company therefore views this prospect in parallel to its previously announced coal mine and power plant being developed by the group and its MOU partners.

Follow News & Updates from Oracle Power here: FOLLOW


Disclaimer & Declaration of Interest

The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.