By SKM
August 3, 2026
ISLAMABAD: Pakistan’s long-awaited third-party gas sales regime moved from policy to implementation on Monday as MariEnergies Limited awarded a contract to Universal Gas Distribution Company (Pvt.) Ltd. for the purchase of up to 17.5 million standard cubic feet per day (MMscfd) of gas from the Spinwam Gas Discovery in the Waziristan Block, Khyber Pakhtunkhwa.
The contract, awarded after a competitive bidding process that attracted 49 private companies, marks a major milestone in implementing the amended Exploration and Production (E&P) Policy 2012, which allows exploration and production companies to sell up to 35 percent of gas from new discoveries directly to third parties through competitive auctions.
MariEnergies had invited bids from both companies licensed by the Oil and Gas Regulatory Authority (OGRA) and entities without OGRA licences under the bidding framework approved by the government.
The amended policy is designed to improve the liquidity and financial viability of upstream exploration companies by allowing them to monetise a portion of new gas discoveries at market-based prices instead of relying solely on the conventional allocation mechanism. Industry officials believe the move will encourage fresh exploration, accelerate new gas discoveries and strengthen Pakistan’s efforts to reduce dependence on imported energy.
The successful completion of the Spinwam auction is being viewed as a breakthrough for Pakistan’s upstream petroleum sector after years of policy deliberations and is expected to bolster investor confidence in exploration and production activities.
In a material information notice submitted to the Pakistan Stock Exchange (PSX), MariEnergies said it had issued a Letter of Award to Universal Gas Distribution pursuant to its Invitation to Bid published on May 15, 2026.
The company said the transaction remains subject to regulatory and other approvals required under the government’s Framework for Sale of Gas to Third Parties, notified through S.R.O. No. 11(I)/2025 dated January 7, 2025.
Upon obtaining the required approvals, Universal Gas Distribution will purchase up to 17.5 MMscfd of gas from the Spinwam discovery, paving the way for its commercial development.
MariEnergies is the operator of the Waziristan Block with a 55 percent working interest. Oil and Gas Development Company Limited (OGDCL) holds a 35 percent stake, while Orient Petroleum Inc. owns the remaining 10 percent.
The disclosure was made under Section 96 of the Securities Act, 2015, and Clause 5.6.1(a) of the Pakistan Stock Exchange Regulations governing material and price-sensitive information. Ends
