The $250 million Jamshoro Joint Venture Limited (JJVL) LPG and NGL extraction plant at Deh Shah Bukhari is set to resume operations after five years of closure, marking a significant milestone for Pakistan’s domestic energy supply chain.
Reporting on the development, Profit Magazine has noted the political turbulence and regulatory disputes that led to the prolonged shutdown. The dispute primarily concerned the allocation of gas by Sui Southern Gas Company (SSGC) and the constitutionality of the original contract under which JJVL extracted gas liquids from the Qadirpur field.
In 2013, the Supreme Court had annulled the contract between JJVL and the state-owned SSGC but subsequent legal reviews and arbitration rulings, including those by international courts, have enabled JJVL to resume production at a critical juncture for Pakistan.
Widely regarded as one of the most technologically advanced in Pakistan’s gas infrastructure landscape, the JJVL facility was once a cornerstone of the country’s LPG industry. From the commencement of production in 2005, JJVL catalyzed over a billion dollars in downstream investment and reduced the country’s reliance on imported fuels.
Profit has noted that regulatory clarity remains a work in progress, but the anticipated resumption of operations is a positive signal for investors seeking long-term certainty in Pakistan’s energy infrastructure sector. The move, it reports, not only revives a major private sector investment but also promises to bolster the local LPG market at a time when global energy costs remain volatile.
The decision to restart the plant also reflects renewed confidence in the legal and political environment, coupled with strategic necessity. With indigenous gas reserves depleting and the import bill rising, maximizing output from domestic sources has become an imperative.
Profit notes that JJVL’s modern facility, developed with U.S. engineering and capital, has long been held up as a model of private sector initiative in a state-dominated energy economy. Industry stakeholders see its comeback as emblematic of the broader push toward reviving idle capacity, restoring investor trust, and boosting self-reliance in energy.
The underway recommissioning process, once completed, is expected to enhance LPG supply for both residential and industrial use, offering some relief amid a tightening energy outlook.
As seasonable rains soak the Qadirpur region, JJVL’s return may well represent the first sign of sunnier days ahead for energy-sector investment security in Pakistan.