ISLAMABAD, Pakistan: The Federal Minister for Energy Muhammad Hammad Azhar graced the signing ceremony of Petroleum Concessions/ Exploration Licences of 6 oil & gas blocks at Petroleum Division in Islamabad on Friday.
These Exploration Licences and Petroleum Concession Agreement (PCAs) were signed by Mian Asad Hayaud Din, Secretary Petroleum Division, Mr. Abdul Jabbar Memon, Director General Petroleum Concessions on behalf of Government of Pakistan, Mr. Shahid Saleem Khan, Managing Director, OGDCL, Mr. Faheem Haider, Managing Director, MPCL and Mr. Moin Raza Khan, Manager Director, PPL.
Director General Petroleum Concession, Petroleum Division granted Petroleum Concession Agreements (PCAs) and Exploration Licences (ELs) over Block No. 3068-6 (Killa Saifullah) and Block No.3067-7 (Sharan) with Oil & Gas Development Company Limited (OGDCL) and Mari Petroleum Company Limited (MPCL), Block No. 3069-9 (Suleiman) with OGDCL and Pakistan Petroleum Limited (PPL) and Block No. 2467-17 (Sujawal South), Block No.3273-5 (Jhelum) and Block No.3272-16 (Lilla) with OGDCL.
The Minister for Energy (Petroleum Division) stated that these efforts will bear fruit for the country in the form of additional hydrocarbon reserves during next few years.
The Minister expressed that execution of the Exploration Licences and PCAs will not only enhance investment in the petroleum sector but will also contribute in bridging the energy demand and supply gap. DG(PC) highlighted that minimum firm work commitment for these blocks is US $ 24.68 Million for the period of three years.
Companies are obligated to spend a minimum of US $ 30,000/year in each block on social welfare schemes.
The annual social welfare obligation in respect of these 06 blocks is US $ 180,000. Killa Saifullah Block covering an area of 2421.96 sq. kms in located in the district of Killa Saifullah while Sharan Block covering an area of 2497.89 sq. kms is located in the districts of Killa Saifullah and Zhob and Suleiman Block covering an area of 2172.89 sq. kms is located in Musakhel, Zhob, Killa Saif Ullah & Loralai Districts.
Sujawal South covering an area of 1914.1 sq. km. is located in Sujawal District. Jhelum Block covering an area of 1524.65 sq. kms is located in the districts of Jhelum, Gujrat & Mandi Bahauddin while Lilla Block covering an area of 2361.12 sq. kms is located in Chakwal, Jhelum & Khushab Districts.
OGDCL is a Public Limited Company engaged in Exploration & Production activities in the country for the last four decades. OGDCL holds the largest share of Oil 41% & Gas 36% of the total reserves in the country. Its percentage share of total Oil & Gas production in Pakistan is 47 % and 29%, respectively.
OGDCL is the Operator of fourty one (41) exploration licences and working interest owner in six (6) other exploration blocks operated by various E & P companies.
OGDCL is currently producing 35,805 BOPD of Oil, 1012 MMCFD of gas, 761M Tonnes of LPG and 53M Tonnes of Sulphur per day. PPL is also a Public Limited Company engaged in Exploration & Production activities in the country.
PPL is Pakistan’s oldest and largest Exploration & Production company, which was incorporated during 1950. Its percentage share of total Oil & Gas production in Pakistan is 13 % and 19 % respectively.
PPL is the operator in 26 Exploration Licences and working Interest owners in 17 other exploration blocks operated by various E &P companies. PPL is currently producing 10,076 BOPD of Oil, 673 MMCFD of Gas and 238 M Tonnes of LPG.
MPCL is primarily an exploration and production company in the upstream segment of the petroleum industry. Its principal business activities include oil and gas exploration, drilling, field development, production and distribution of hydrocarbons (including natural gas, crude oil, condensate and LPG) as well as provision of E&P related services on commercial basis.
Mari Petroleum is an integrated exploration and Production Company, currently managing and operating Pakistan’s largest gas reservoir at Mari Gas Field, Daharki, Sindh.
MPCL is the second largest gas producer in the Country with 753 MMCFD Gas and 1,722 BOPD oil.
MPCL is the operator in 06 Development & Production Leases, 11 Exploration Licences and working Interest owners in 07 other exploration blocks operated by various E &P companies.