NOC signed contract with Private companies to supply fuel

Kathmandu November 5- The Nepal Oil Corporation (NOC) has signed contracts with two private companies—Birat Petroleum and Petromax Nepal—to supply petroleum products to the state-owned oil company. The corporation has also provided ‘no objection letter’ to nine others companies : Otex, Sherpa Outdoor, Orange Trade, Ohm Shiva Petro, Sai Ram Suppliers, Himalayan Gas and Petroleum, Global Alliance, Las World Trading and Blue Lotus for the purpose. While the NOC will buy fuel from the contracted companies, the corporation said it would also consider purchasing oil from the companies getting no objection letter based on the price and quality they offer.

While Birat Petroleum has been allowed to import petrol and diesel, Petromax Nepal has been awarded a contract to provide aviation turbine fuel (ATF). The two companies are said to have proposed to supply petroleum to the NOC at a price higher than the prevailing market rate, an NOC source said.