KARACHI: Pakistan Petroleum Limited (PPL) announced the approval of a 10-year Development and Production Lease (D&PL) for the Sui gas field, securing exclusive operational rights over a 455.80 sq. km area until May 31, 2025. This extension, effective from June 1, 2015, follows the expiration of the original 60-year Sui Mining Lease in 2015 and was granted under the Pakistan Onshore Petroleum (Exploration & Production) Rules, 2013.
According to PPL’s filing with the Pakistan Stock Exchange, total liabilities related to the lease, including Lease Extension Bonus, Production Bonus, and Social Welfare/Training Obligations, amount to Rs 52.5 billion as of September 30, 2024. The company plans to fulfill these obligations by May 2025, following a schedule approved by the Economic Coordination Committee (ECC).
PPL intends to seek additional extensions for the D&PL based on the field’s continued economic viability and production potential, aligning with federal regulations. The lease renewal will also enable PPL to formalize a Petroleum Concession Agreement (PCA) to meet its financial commitments under government oversight.
