By SKM
January 12, 2025
ISLAMABAD: The top management of Oil and Gas Development Company (OGDCL) has carved out an aggressive exploration and production plan with a focus on 10 unconventional wells of shale and tight gas.
The OGDCL will also increase exploration and production activities with more emphasis on conventional wells in existing gas fields. In addition, it will initiate E&P activities in Baluchistan with a new vigor and special focus on Zin block which holds confirmed reserves of 840 billion cubic feet per day (bcfd).
“After the reappointment of Mr Ahmad Hayat Lak as OGDC MD for three years by the Board of Directors, the top management is now poised to gear up exploration and production activities with a new zeal and push,” one of the top officials in the company told EXclusivewavescom.pk
Mentioning the unconventional pilot well of shale gas, he said that the OGDCL has gained remarkable achievements as it has found promising indications of the presence of heavy reservoirs of shale gas at the pilot well KUC-1, Hyderabad, Sindh. “Now we are going to initiate fracking the well horizontally for which OGDCL management has signed the agreement Schlumberger, Pakistan.”
“We have also issued a tender seeking the services of the international service providers for extracting the shale gas. In addition, OGDCL management also sent its experts to China for interactions with Chinese counterparts who have successfully explored shale gas. The OGDCL experts are now back with the resolve to working with Chinese companies under the umbrella of CNPC—the main Chinese company. The Chinese companies have also shown keen interest to participate in shale gas discovery processes in Pakistan. Like the USA, China is also massively investing in exploring shale gas. “We are now going to initiate 10 more wells for shale and tight gas wells.”
Sember Shale is considered as, the richest source rock having good thickness, mainly found in the lower and middle Indus basin of Pakistan. OGDCL has commenced commercial production from its first-ever tight gas discovery at the Nur West-1 well, located in Sujawal, Sindh Province. In line with the Tight Gas Exploration & Production Policy 2024, OGDCL has successfully integrated Nur West-1 into production on a fast-track basis.
The OGDCL with Mr Ahmad Hayat Lak as acting MD since 2023 launched the project of optimization of the declining oil and gas fields and increased oil production by 4000 BPD to 35000BPD and hike 20 mmcfd gas. In addition, OGDCL in last one and half years’ time, made 7 oil and gas discoveries.
More importantly a well in Khewari field, KPK which was dormant since 2012 was not only made active but has also been monetized. The company also completed the Jhal Magsi project on time, with monetization planned upon SSGC’s completion of the pipeline installation.
Mr Lak took OGDCL net sales to a new high of Rs463.698 billion enabling the company to earn profit of Rs208 billion after tax deduction. OGDCL during July 2023 – June 2024 contributed around 46%, 28% and 37% towards the country’s total oil, natural gas and LPG production respectively. Mr Lak also contributed to the settlement of Reko Diq project during the arbitration and to this effect his role was recognized at the top level.
“Before he took charge as acting CEO, there was a declining oil and gas production trend, but Mr Lak used the technology and company’s experts and optimized the oil and gas production from the existing declining gas fields.”Ends
