Pakistan has awarded six onshore exploration blocks in Sindh, Balochistan and Punjab provinces with the acreage being snapped up by local state-owned companies.
Read more: Pakistan seeks $5 billion investment to spark oil and gas activity
Partners (OGDC) and Mari Petroleum were awarded blocks 3068-6 (Killa Saifullah) and 3067-7 (Sharan) in Balochistan; Block 3069-9 (Suleiman) in Balochistan was picked up by OGDC and Pakistan Petroleum; while OGDC also secured blocks 17 (Sujawal South) in Sindh province, 3273-5 (Jhelum) and 3272-16 (Lilla).
Commitments
The minimum firm exploration commitment for the blocks is US$24.68 million over the initial three-year term. The companies are also obligated to invest in social welfare schemes during the tenure of the blocks that range in size from some1525 to 2498 square kilometres.
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The government in January provisionally awarded Sharan to Mari with a 60% operated interest while sole partner OGDC was granted the same operated stake in the Killa Saifullah block. Both these blocks in the Northern Sulaiman and Pishin basins are classified as Zone 1 (F) for prospectivity.
Wildcat could follow
Local media reported Mari as planning to acquire around 600 line kilometres of 2D seismic to evaluate the potential of the Sharan block. An exploration well could follow if a drillable prospect is firmed up.
Mari was also provisionally awarded the Nareli block in Balochistan with partners Spud Energy and Pakistan Oilfields (POL), while POL and Mari were lined up for the North Dhurnal block in Punjab, according to Global Village Space.
Pakistan’s newly appointed Minister for Energy Hammad Azhar witnessed Friday’s contract signings.
The writer is a financial market enthusiast and attached to Pakistan’s stocks, commodities and emerging technology
