Islamabad, March 16, 2026: The Senate Standing Committee on Privatization held a detailed meeting at the Parliament House under the chairmanship of Senator Afnanullah Khan to review the privatization matters of the Pakistan Minerals Development Corporation (PMDC) and Pakistan International Airlines Corporation Limited (PIACL), focusing on assets, financial performance, and employee welfare facilities.
During the session, PMDC Managing Director Engineer Asad Ahmed briefed the committee on the corporation’s extensive mineral reserves, including coal mines over 17,363 acres in Degari, Sharigh, and Lakhra, salt reserves spanning 22,737 acres, and soapstone reserves covering nearly 7,000 acres. Mineral exploration activities are also underway in Balochistan’s Pishin and Zhob districts over 246,753 acres under three-year licenses.
Officials highlighted that PMDC’s head office in Islamabad occupies 40 kanals, with regional offices in Hayatabad (15 kanals) and Quetta Cantonment (33 kanals). Salt reserves at Khewra alone cover 18,192 kanals, contributing to total nationwide reserves of 51,426 kanals.
The committee noted that some lands have been leased at rates significantly below market value, including 1,120 kanals for the Khewra project at PKR 500,000 annually and 56 kanals at PKR 113,780. Chairman Khan directed that lease agreements be revisited and rents adjusted accordingly. Members also highlighted that mining land in Balochistan is leased for 30 years, with coal production costs at PKR 17,000 per ton while PMDC receives only PKR 2,500 per ton, resulting in comparatively low annual income of around PKR 1 billion and total revenue before tax of PKR 2.5 billion.
Secretary of the Privatization Commission of Pakistan, Usman Bajwa, briefed the committee on the ongoing privatization of Pakistan International Airlines, noting that the financial close is expected by the end of April. A consortium led by Arif Habib is in the process of forming a new management team and CEO, with Fauji Fertilizer Company joining the consortium after Cabinet approval.
The consortium has formed PIA Equity Limited to consolidate all shareholders. Officials reported that PIA’s properties are valued at approximately PKR 12 billion, with liabilities of PKR 180 billion transferred to the holding company. A prominent plot in Islamabad’s New Blue Area is estimated at nearly PKR 3 billion.
The committee also reviewed the airline’s financial performance, including a reported profit of PKR 7.3 billion in 2024 and PKR 26 billion submitted to the Securities and Exchange Commission of Pakistan. Discussions covered medical facilities for retired employees and pensioners, totaling around 16,500 individuals, with 12,500 active beneficiaries. Proposals from the State Life Insurance Corporation of Pakistan for medical coverage were approved, and arrangements are underway with hospitals nationwide.
Chairman Khan instructed authorities to address complaints from retired employees and improve medical facilities. Other points of discussion included GST concessions on new aircraft, the strategic importance of Gwadar International Airport as a regional hub, and queries regarding PIA’s properties and privatization procedures.
The meeting was attended by Senators Anwaar-ul-Haq Kakar, Bilal Ahmad Khan, and Palwasha Mohammad Zai Khan, along with former MNA Chaudhry Manzoor Ahmad as a special invitee. Senior officials from the Privatization Commission, Privatization Division, and relevant departments were also present.
