The Pakistan Credit Rating Agency (PACRA) has maintained the long-term and the short-term ratings of Attock Refinery Limited (ARL) at “AA-” (Double A Minus) and “A1+” (A One Plus), respectively. The ratings denote a very low expectation of credit risk emanating from a very strong capacity for timely payments of financial commitments.

The ratings reflect the company’s very strong capital structure and robust cash flows that enables ARL to remain largely insulated from the cyclicality of refining industry. Meanwhile, the strengthening equity base due to mandatory retention of profits above 50% of paid-up capital would continue to provide significant cushion against any future unforeseen events. The ratings also factor in the benefits emanating from the company’s association with the only fully integrated group in the petroleum sector of the country.

About the company: Attock Oil Company Limited (AOC), incorporated in UK and a pioneer in oil refining in South Asia, started refining operations in Pakistan in 1922. ARL was incorporated as a private limited company in 1978 to take over the crude oil refining business from AOC, which has 52.5% shareholding in ARL. ARL is listed with all the three stock exchanges of the country and currently has refining capacity of 40,000 BPD.

In Pakistan, Attock Group has considerable representation in the petroleum sector through its exploration companies – Attock Oil Company Limited (AOC) and Pakistan Oilfields Limited (POL) – an oil marketing company – Attock Petroleum Limited (APL) – and two refineries namely ARL and the newly acquired National Refinery Limited (NRL).