12 % GoP holding in OGDCL worth Rs.36 billion free of cost distribution among employees on Aug 26.

ISLAMABAD, August 24, 2009 (Balochistan Times): After the launch of BESOS scheme for the employees of Heavy Mechanical Complex (HMC) by the Prime Minister, the Benazir Employees Stock Option Scheme (BESOS) now would be implemented in Oil & Gas Development Company Limited (OGDCL) on August 26, 2009 by giving 12% shares i.e. (438 million shares) to the employees free of cost, which will benefit about 10,576 employees of this unit from the scheme. The people friendly policies of the government will have positive turn with the implementation of Benazir Employees Stock Option Scheme (BESOS) in the State Owned Entities (SOEs), which is also the implementation of Quaid-e-Awam Zulfiqar Ali Bhutto and Shaheed Mohtarma Benazir Bhuttos vision to empower the workers by extending the benefits of these entities to the employees who have made these entities with their dedicated efforts and hard work. Syed Naveed Qamar Federal Minister for Petroleum, Natural Resources and Privatisation in a statement said. The Minister said that OGDCL employees would form a Trust and three representatives each of employees and the government would be nominated in the Trust and employees representation on the Board of Directors of OGDCL as an additional director by way of Boards resolution. Giving further details Syed Naveed Qamar informed that the benefit to each employee would range from Rs. 270,000 (1 x 3000 shares x Rs. 90.00 per share) to Rs. 5,400,000 (20 x 3,000 shares x Rs.90.00) in accordance with the length of service Based on the dividend paid last year the employees will additionally benefit from dividends ranging from Rs.14, 250 (3000 shares x Rs.4.75 per share) to Rs.285, 000 (60000 shares x Rs.4.75 per share) each. OGDCL was established as a Statutory Corporation in 1961 and made self- financing in July 1989. The company was incorporated as a Public Limited Company in October 1997. OGDCLs Initial Public Offering (IPO) of 5% shares was conducted in November 2003 while Secondary Public Offering (SPO) of 0.5% shares was held in April 2007. The Global Depositary Receipt (GDR) with 0.5% shares of OGDCL was conducted in December 2006 with its listing on London Stock Exchange in December 2006. After 12% shares i.e. (438 million shares) to the employees the GoP share holding in OGDCL would come to 73 %. The Minister stated that the shares being offered to the employees would be buyback from them while leaving the service or in case of death of the employee the legal heirs would get the amount. The scheme would create a sense of ownership among the workers and they would do more drilling and discoveries, which would directly benefit the entity, government and the workers in the future. The necessity to implement BESOS in the loss making units was of much importance to make such entities profitable, he added. Syed Naveed Qamar Federal Minister for Petroleum, Natural resources & Privatisation further stated that the government was making all out efforts to resolve the problems and issues of the workers. We were in the process of reinstating the sacked employees, restoring Trade Union activities and repealing the anti workers laws, he said. He said that we were going ahead aggressively to implement BESOS in the SOEs with great momentum to make workers as partners in the future of Pakistan. The BESOS is being implemented by the Privatisation Commission in coordination with the line Ministry / holding corporation / respective SOE. Corporatization of the SOEs established under Special Act / Ordinance will also be taken up soon by the Privatisation Commission in-coordination with the Line Ministries. A cell will be created in the Privatisation Commission for the purpose, he said.

(THROUGH ASIA PULSE)