By Abdul Ghani
The construction work on the Yarikh–Sagu Motorway (Package-I) is expected to resume from May 4, 2026 after months of suspension caused by funding constraints and a deteriorating law and order situation, according to a document available with Wealth Pakistan.
The 50-kilometre, four-lane (3.5 meters each) CPEC-linked project — initiated on June 16, 2023 — has so far achieved only 12.02% progress, reflecting significant delays. M/s National Logistics Cell (NLC), the executing agency, halted the work due to the non-release of funds and security challenges in the project area.
In a key development, the National Highway Executive Board (NHEB) has approved the NLC’s proposal to assign the remaining construction work to an assignee contractor.
Under this arrangement, M/s Umer Jan & Co JV Mina Construction Company will complete the pending works.
According to the document, documentation, joint measurements, and mobilization of the new contractor will take around two months. Following this process, the construction activities are likely to commence from May 4 this year.
The project, with an overall PC-I cost of Rs76,486 million and a Package-I contract cost of Rs22,886 million, was initially scheduled for completion by June 15, 2025. However, due to delays, the revised completion date was extended to May 3, 2028.
For the Fiscal Year 2025-26, Rs1,000 million has been allocated under the Public Sector Development Program (PSDP) to support the project’s resumption.
This section of the motorway is considered an important infrastructure initiative aimed at improving connectivity and boosting economic activity in the region under the broader CPEC framework.
Credit: INP-WealthPk