Pakistan’s state-owned Oil and Gas Development Company Limited (OGDCL) on Tuesday said it had made an oil and gas discovery at its exploratory well Baragzai X-01 in the Khyber Pakhtunkhwa Province, which would boost domestic supply and Pakistan’s energy security.
A Cased Hole Drill Stem Test at in Samana Suk and Shinawari formations showed the well flowed at the rate of 3,100 barrels of oil per day (bpd) and 8.15 million standard cubic feet per day of gas, OGDC said.
“This discovery will contribute towards mitigating the energy supply–demand gap through indigenous resources and will add to the hydrocarbon reserves base of OGDCL, its joint venture partners, and the Country,” the company said in a statement.
The discovery today is the third in one month at the exploration well.
Earlier this month, OGDC announced an oil and gas discovery over the Datta Formation at its exploratory well Baragzai X-01, and last month the first discovery at the exploration well was announced.
Pakistan looks to boost domestic exploration and production efforts to grow its own crude oil and gas output and reduce dependence on costly imports, especially for its economy in crisis.
At the end of last year, Pakistan signed five deals for oil and gas exploration with local private and state-owned companies that will develop three offshore and two onshore blocks.
The companies that will be involved in the development of the five blocks include Mari Energies, Oil & Gas Development Company Limited, Pakistan Petroleum, Fatima Petroleum, Government Holdings Limited, and Turkish Petroleum Overseas Company.
In November, the Pakistani government auctioned 40 offshore blocks and got 23 bids from four consortia involving local energy companies and Turkey’s state-owned energy major TPAO.
The four consortia have committed $80 million in investments for the exploration phase of the blocks’ development, with potential total investments that could reach $1 billion if they move on to the production phase.
By Charles Kennedy for Oilprice.com
More Top Reads From Oilprice.com
