KARACHI - Pakistan State Oil (PSO) has received around Rs 14 billion from the government out of outstanding circular debt of power sector. Now, the circular debt has been trimmed to Rs 88.964 billion, while the payable by the PSO is Rs 85.037 billion, according to the sources. It is worth mentioning that the company will default in its payment for L/Cs for oil purchase from international market, if the issue of circular debt of the company is not resolved in coming few days. After a series of assurances, the govt has injected some amount in the power sector, and so the company has been able to receive some amount from the circular debt. But if the issue of circular debt is not resolved completely, the PSO will have to move for bank borrowing. This will be an added burden to the existing circular debt of the company, said an official from the company. PSO is the largest fuel oil supplier to the power sector and if the existing conditions prevail, it will affect the companys credibility. Currently, the PSO is supplying 30,000 to 35,000 MTs of furnace oil to the power sector, despite the debt burden, he added. On the other hand, according to the source, the company has the liabilities of Rs 85.037 billion. This amount has been in the account of PSO because of the non-payments to PSO. PSO has to pay Rs 20.874 billion to PARCO, ARL has to receive Rs 11.796 billion from the PSO, PRL has to get Rs 8.704 billion from PSO and NRL and Bosicar has to get Rs 8.383 billion and Rs 1.903 billion from the PSO respectively. Rs 446 million has to be paid by PSO to different other companies. Moreover, payment to KPS which is due on 22nd September 2009 amounts Rs 9,988 million, and the L/C payment due up to 16th September 2009 is Rs 22,943 million. The source added that WAPDA has to pay Rs 24,364 million to PSO; HUBCO has to pay Rs 37,440 million. KAPCO and PIA has to pay Rs 19,101 million and Rs 2,356 million respectively to PSO. OGDC has to pay Rs 361 million, Kohinoor Energy Rs 754 million and Saba Energy has to give Rs 996 million. The financial charges receivable from PIA now mounted up to Rs 701 million, and the audited price differential claim is Rs 1,592 million, while Rs 1,299 million is receivable by the PSO as price differential claim on imported PMG.