ISLAMABAD: The Oil and Gas Development Company Limited has announced asignificant new oil and gas discovery in the Nashpa Block located in Kohatdistrict of Khyber Pakhtunkhwa, providing a vital boost to the country’sstruggling energy sector amid rising import bills and supplyshortages.According to company officials, the discovery at the BaragzaiX-01 exploratory well will yield approximately 4,100 barrels of crude oiland 10.5 million standard cubic feet of gas per day, based on recentproduction tests conducted in the Datta Formation.
The well was drilled to a depth of 5,170 meters, where a substantial187-meter hydrocarbon zone was identified, highlighting the untappedpotential in deeper geological layers of the region.OGDCL operates theNashpa Exploration Licence with a 65 percent working interest, whilePakistan Petroleum Limited holds 30 percent and Government Holdings PrivateLimited maintains a 5 percent share.
This joint venture structure ensures shared benefits from the increasedproduction, which is expected to contribute meaningfully to nationalhydrocarbon reserves and reduce dependence on foreign imports.Industryanalysts note that Pakistan’s energy demand has outpaced domestic supplyfor years, leading to annual import costs exceeding billions of dollars foroil and liquefied natural gas.
The new find comes at a critical time as the country faces power shortagesand high energy prices affecting industries and households alike.Aspokesperson for OGDCL emphasised that the discovery would enhance localresource development and improve the overall energy supply-demand balancein the medium term.
Further testing and development work are underway to ascertain the fullcommercial viability and potential extensions in adjacent areas of theblock.Experts believe this success could encourage additional exploratoryefforts in Khyber Pakhtunkhwa, a province with proven but under-exploredhydrocarbon prospects.
The announcement has been welcomed by stakeholders as a positive steptowards energy security, potentially saving foreign exchange and supportingeconomic stability.Production from the well is set to be integrated intoexisting facilities, with gas likely injected into the national pipelinenetwork for wider distribution.
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This development underscores OGDCL’s ongoing commitment to aggressiveexploration despite challenging fiscal and operational environments in theupstream sector.Overall, the discovery adds to a series of recent findsthat collectively aim to bolster Pakistan’s indigenous production capacityin the face of depleting older fields.
Source:https://tribune.com.pk/story/2584937/ogdcl-announces-major-oil-gas-discovery-in-kps-kohat-district
Tags: Pakistan, OGDCL, Nashpa Block, Khyber Pakhtunkhwa, Baragzai Well
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