ISLAMABAD: Government’s plan to set up an oil or petrochemical refinery with China’s cooperation is almost dead project as Chinese company Sinopec is interested in trading petrochemical products on basis of demand and supply, well-informed sources informed.

Pakistan State Oil is reportedly interacting with Bank of China/Sinopec for establishment of either an oil refinery or petrochemical refinery with an investment of over $ 10 billion. Recently, Pakistan sought viewpoint of Chinese company which showed no interest in any type of refinery. Minister for Planning Ahsan Iqbal held meeting with Vice President of Sinopec LV Lianggong to discuss prospects for establishing an oil refinery in collaboration with Pakistan State Oil-Aramco-Sinopec. In response, Vice President stated that given ongoing debate on climate change, refinery business was contracting.  Sinopec would therefore accord careful consideration to that proposal. In case of Pakistan, it took long time to process such proposals.