OGDC on Wednesday announced the discovery of new oil and gas deposits in two different wells in Khyber-Pakhtunkhwa
Tests conducted by the exploration firm showed 1.6 million standard cubic feet per day (mmscfd) of gas. In addition, 12 barrels per day (bpd) of condensate in exploratory well Siab-1. The company said in a notification sent to the Pakistan Stock Exchange (PSX).
Besides, tests showed 4.18 mmscfd of gas and 32 bpd of condensate in a zone in the Lumshiwal/ Hangu formation, according to the notification.
Hydrocarbon deposits in exploratory well Siab-1 were found by the joint venture of Baratai block. Which comprised OGDC as operator of the block with 97.5% shareholding. Additionally, K-P Oil and Gas Company Limited (KPOGCL) holding the remaining 2.5% stake in the block.
DISCOVERY BY OGDC
“The discovery of Siab-1 is the result of an aggressive exploration strategy adopted by the OGDC,” the notification said. It revealed that they made this discovery through in-house expertise.
“It has opened a new avenue. Moreover, authorities expect this will add to the hydrocarbon reserve base of OGDC, KPOGCL and the country. Consequently, it will contribute to reducing the gap between supply and demand of oil and gas in Pakistan
During the day, OGDC’s share price rose 0.42%, or Rs0.44. And closed at Rs104.37 with 1.82 million shares changing hands at the PSX.
On average, Pakistan produced 85,000 bpd of oil from January to August 2020, according to trading economics.com. However, the country meets around 80% of its oil demand through imports.
Separately, the country produces around 3.5 billion cubic feet of gas per day (bcfd) against the total need of around 7 bcfd. It partially meets local demand through imports. However, manages the total requirement by resorting to supply outages for compressed natural gas (CNG) filling stations and industries.
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