LAHORE : EPCL Friday announced financing of USD 35m from International Finance Corporation, for expansion plans for its production plant of PVC – a chemical. This financing was a part of the initial Rs 10.3b expansion plan announced earlier, out of which Rs 5.4b has already been raised from the issue of right shares. Engro Polymer has been associated with IFC, a member of the World Bank Group, since its inception. EPCL, which remains the industry leader being the sole producer of PVC resin in Pakistan, disclosed adding a new production line of PVC after demand for the chemical continued to surge significantly in the country mainly due to a boom in construction activities. While speaking at the occasion, Syed Abbas Raza, CFO Engro Polymer and Chemicals Limited, said: “This financing of $35 million would not only fund our expansion plan but would also bring precious foreign exchange to our country.  The funds from International Finance Corporation will contribute towards the completion of the expansion project paving the pathway for development of construction activities in Pakistan.”

EPCL announced investing over Rs10 billion for expansion of the plants including those producing other related chemicals like VCM (raw material for PVC) and adding a new product to its portfolio namely caustic soda flakes. While expanding the business, EPCL will add a new PVC plant with a capacity of 100,000 tons (taking total capacity to 295,000 ton per annum) and increase production of VCM (the raw material) by 50,000 tons through debottlenecking of the existing plant by the third quarter of 2020.