Pakistan’s Hi-Tech Lubricants plans to establish a medium-sized oil marketing company in the next three years, Muhammad Imran, company secretary, said. Hi-Tech’s board of directors have approved to amend the Memorandum of Association for this purpose. The first of the series of petrol pumps will be on stream by December 2016 or early 2017 in Lahore, the capital city of Punjab and the second largest city in Pakistan.
Imran said Hi-Tech plans to fill the gap with the rumored pending exit of a major market player. Hi-Tech will invest PKR 500 million (USD 4.74 million). Hi-Tech recently raised additional capital through an initial public offering (IPO).
The company plans to operate four to five retail outlets and franchise the rest of the planned 300 oil retail outlets.
Imran said Hi-Tech also plans to establish storage facilities in four provinces.
Hi-Tech’s board of directors also approved to incorporate a wholly owned foreign subsidiary company in Afghanistan, which would supply motor oils to the neighbouring land-locked country, where Caltex and Total have a strong foothold.
Hi-Tech Lubricants has a 5.5% share of Pakistan’s lubricants market.