• Wednesday, January 29, 2020

New oil reserves discovered in Sindh

Discussion in 'Pakistan Economy' started by cb4, Nov 6, 2014.

  1. cb4

    cb4 ELITE MEMBER

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    Karachi- New oil reserves have been discovered at Tando Allah Yar in Sindh province.
    Oil and Gas Development Corporation Limited (OGDCL) discovered oil from Jarwar well number one in NIM Block. The discovery will add to the hydrocarbon reserves base of the country. This is the second OGDCL oil discovery within the short span of two months as the previous one was discovered in district Attock in September.

    New oil reserves discovered in Sindh
     
  2. Bilal.

    Bilal. SENIOR MEMBER

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    What's the production capacity?
     
  3. karakoram

    karakoram SENIOR MEMBER

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    Good news but how will we know the capacity of that well ?
     
  4. Horus

    Horus ADMINISTRATOR

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    Looks like the oil & gas drive is going well.
     
  5. Kloitra

    Kloitra SENIOR MEMBER

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  6. DESERT FIGHTER

    DESERT FIGHTER ELITE MEMBER

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    sindhis in audis? :D
     
  7. VCheng

    VCheng ELITE MEMBER

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  8. Bilal.

    Bilal. SENIOR MEMBER

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  9. niaz

    niaz PDF THINK TANK: CONSULTANT

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    It is indeed very little, at $30 per bbl such a small well would not be economic. However at $80 per bbl it is commercially viable. Details are very sketchy, from what I read about, it appears to be a gas rich oil field or condensate rich gas field. In any case, it is better than a dry well.

    Most Pakistani oil bearing structures are small and any well producing in excess of 1000 bbls per day is considered good. Let us hope we find another 50 such structures.
     
  10. enquencher

    enquencher FULL MEMBER

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    These reserves don't seem commercially viable...Coz it is costly to extract .process and maintain those wells
     
  11. niaz

    niaz PDF THINK TANK: CONSULTANT

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    Hon sir,

    I did mention in my earlier post that at $30 per bbl. oil, this field would be uneconomic. Not so at current prices. Here is an excerpt from US Energy Information Administration.

    Quote

    Costs for Producing Crude Oil and Natural Gas, 20072009
    2009 Dollars per Barrel of Oil Equivalent

    Lifting Costs Finding Costs Total Upstream Costs
    United States
    Average $12.18 $21.58 $33.76
    On-shore $12.73 $18.65 $31.38
    Off-shore $10.09 $41.51 $51.60

    All Other Countries Average $9.95 $15.13 $25.08
    Canada $12.69 $12.07 $24.76
    Africa $10.31 $35.01 $45.32
    Middle East $9.89 $6.99 $16.88
    Central & South America $6.21 $20.43 $26.64

    Unquote

    Recently I came across an article about the declining production in the conventional oil fields. Understand Bakken field in North Dakota (discovered in 1951) mean oil production per working oil well is down to 400 bbl/day. The filed in question may be small but it is viable at current oil price levels.
     
  12. VCheng

    VCheng ELITE MEMBER

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    Sir, a field may be viable at low production levels only if it has previously delivered much larger volumes to justify developing it in the first place. As productivity tapers off, the existing machinery is enough to keep it viable without additional development. Trying to initially develop a well with a peak output of 400 bbl per day may be a nonviable scenario.
     
  13. Horus

    Horus ADMINISTRATOR

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  14. KingMamba

    KingMamba ELITE MEMBER

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    Forever pessimistic should be an official slogan of yours. :D
     
  15. VCheng

    VCheng ELITE MEMBER

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    What sarcasm Sir? I was agreeing with you. Now the figure would be 100,480 barrels per day, a great achievement, no doubt. Production is increasing indeed, which is the correct direction. I am sure you can agree with this statement. :D