Islamabad: In a significant development under Pakistan's circular debt settlement plan, Oil and Gas Development Company Limited (OGDCL) announced it has received the first interest payment of Rs 7.725 billion from Power Holding (Private) Limited (PHL). This payment is part of a government-approved mechanism aimed at addressing the mounting financial obligations within the energy sector.

The payment received marks the beginning of a structured repayment plan, wherein the total interest amount of Rs 92 billion will be settled in twelve equal monthly installments. This plan is set to commence in July 2025, providing a timeline for the resolution of outstanding debts.

This initiative is part of the broader efforts by the Government of Pakistan to mitigate the challenges posed by circular debt, which has been a persistent issue affecting the energy sector's financial health and operational efficiency.

The disclosure of this financial transaction aligns with the requirements outlined in Section 96 of the Securities Act, 2015, and Clause 5.6.1(a) of PSX Regulations. OGDCL submitted the information for dissemination among its members, ensuring transparency and compliance with regulatory mandates.