Tag: gas reserves

  • Pakistan identifies major oil and gas deposits in waters, exploration plans underway

    Pakistan identifies major oil and gas deposits in waters, exploration plans underway

    Pakistan has made a major petroleum and gas discovery within its territorial waters. This finding is expected to improve the country’s economic future.

    A senior security official with direct knowledge of the discovery confirmed that a survey had verified the presence of oil and gas reserves.

    According to Dawn, the survey has determined the location of the deposits, and the relevant departments have been notified.

    The discovery is now being seen as a crucial part of Pakistan’s efforts to build its ‘blue water economy’. Proposals for further exploration and bidding are reportedly under review, with high hopes that exploration may begin soon.

    Still, the official has warned that extracting oil may require years of work due to the technical challenges involved. Beyond oil and gas, the potential for mining other valuable minerals from the ocean could also provide additional economic opportunities.

    Some experts project that these reserves might be the fourth-largest in the world. While the discovery is promising, former Oil and Gas Regulatory Authority (Ogra) member Muhammad Arif urged caution.

    He noted that the true potential of the reserves will be revealed after drilling work begins. If gas reserves are found in large quantities, they might replace costly LNG imports, while oil could reduce the country’s dependence on imported fuel, further easing the import burden.

    According to details, an initial investment of around $5 billion is required for exploration to begin. If the reserves are sufficient, more funds will be needed to build wells. Full-scale production may take up to five years to materialise.

  • Petroleum, gas reserves discovered in Sindh

    Petroleum, gas reserves discovered in Sindh

    Mari Petroleum company has discovered new gas and oil reserves in Dharki town of Ghotki district in Sindh, reports Geo News.

    The new discovery will yield 2.5 million cubic feet of gas per day while 1040 barrels of crude oil will be obtained, says a statement issued by Mari Petrolem.

    Significant oil reserves were discovered in the well Shoal-1 of the Mari field. The work on Shoal-1 started on January 27, 2024. Mari Petroleum says the well was successfully drilled to a depth of 1,136 meters.

    Faheem Haider, Managing Director (MD) of Mari Petroleum, described the discovery as a remarkable achievement for the company’s scientists and engineers.

  • Pakistanis to face gas shortage in winter once again

    Pakistanis to face gas shortage in winter once again

    The government has warned of an impending gas crisis in the nation due to a dramatic reduction in gas supplies and a gradually growing imbalance between demand and supply.

    With each passing year, Pakistan’s gas reserves are declining by roughly 10 per cent annually in past years, according to DAWN.

    Officials from the Public Accounts Committee (PAC) gathered to discuss the Petroleum Division’s annual report for 2019–20.

    We cannot purchase the gas, according to Petroleum Secretary Ali Raza Bhatti, who spoke to PAC about the state of the market. Since the start of the war in Ukraine, gas prices have risen everywhere. Gas prices had increased by about 4% at the time.

    According to Bhatti, Pakistan is considering purchasing gas from other nations as the prime minister just visited Qatar and held a private meeting where a request for extra cargoes was on the agenda.

    Nevertheless, the government is currently thinking about importing gas from friendly nations. Previously, the nation got its gas from Qatar, but now it wants to get supplies from other friendly countries to make up for the deficit.

    According to him, domestic consumers use the majority of the gas in Pakistan’s system, which is extensively subsidised by the government.

    Qatar is the most dependable provider, it should be noted. According to the petroleum secretary, Qatar has continued to provide Pakistan with LNG at a rate of $15 per million British thermal units (mmBtu), down from the $60 per mmBtu it was previously charging from other nations, despite the market’s rising demand.

    Sui Northern was also asked to provide information on defaulters in the Gas Infrastructure Development System by the PAC, which was led by Noor Alam Khan.

    The committee instructed gas firms to take payment from late payers within seven days, and the government to cut off the defaulters’ connections right away.

  • Largest gas reserve in 20 years discovered in Balochistan

    Largest gas reserve in 20 years discovered in Balochistan

    Pakistan Petroleum Limited (PPL) has found a huge gas reserve in Margand block of Kalat, Balochistan, 100% of drilling rights of which are owned by the PPL.

    According to the details, PPL had been drilling at Margand X-1 block since June 30, 2019. It carried out Modular Dynamics Testing (MDT) that helps in the detection of gas reserves. PPL further conducted a Drill Stem Test (DST) that revealed that these reserves might potentially exceed 1 trillion cubic feet.

    In comparison, Sui has estimated reserves of 2 trillion cubic feet. This is the first significant discovery of gas reserves in Balochistan since 2000 after which companies such as British Petroleum, Petronas and Niko Resources had been trying to tap unexplored reserves.

    All companies had, however, failed to discover reserves this large and pulled out of the country.

    Furthermore, little to no attention was given during the tenures of previous governments to exploit the domestic wealth of minerals and fulfil the energy needs of the country. Instead, dubious contracts like rental power plants and Liquified Natural Gas (LNG) power plants were signed, which the National Accountability Bureau (NAB) has been investigating.

    Pakistan can save more than $900 million on the import bill if Margand gas reserves replace LNG, which costs domestic consumers 100% more than Sui gas, a former board director of the PPL has said.