New oil, gas deposits tapped in K-P

[Devil Soul]

New oil, gas deposits tapped in K-P
By Our Correspondent
Published: December 20, 2016
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KARACHI: MOL Pakistan has found fresh oil and gas deposits in a well located in the Tal block, Khyber-Pakhtunkhwa and commercial production from the well is expected to start in April 2017, according to a bourse filing on Tuesday.

“The well has shown flow of 438 barrels per day (bpd) of condensate (crude oil), 15.7 million standard cubic feet of gas per day (mmscfd) with 35 barrels of water per day,” Pakistan Oilfields Limited (POL), which holds 21.05% stake in the block, said in a notification to the Pakistan Stock Exchange. Pakistan Petroleum Limited (PPL) and Oil and Gas Development Company (OGDC) own commercial stakes of 27.76% each in the block. MOL Pakistan is the operator of the block.

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Share prices of these companies fell at the stock exchange as investors resorted to profit-selling. POL stock fell 2.16%, or Rs12.14, and closed at Rs547.44, PPL stock dropped 1.13%, or Rs2.19, to Rs191.13 and OGDC stock dipped 1.21%, or Rs2.01, to Rs163.77. The POL notification added that hydrocarbons were encountered in the Maramzai-04 development well. The well has been completed in Lockhart, Hungu and Lumshiwal formations.

Re-perforations of the Lockhart formation for better communication and acid job were also planned at the well and production rates after these jobs may differ from the rates mentioned, it added.

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JS Research analyst Syed Atif Zafar said the new discovery would add to the earnings per share of commercial stakeholders. “We estimate earnings impact of Rs1.2 per share for POL, Rs0.2 per share for PPL and Rs0.1 per share for OGDC.”

“However, we believe the size of the discovery is somewhat a disappointment given better numbers witnessed in earlier discoveries in the Tal block,” he added.

Published in The Express Tribune, December 21st, 2016.

 

[Mrc]

The well has shown flow of 438 barrels per day (bpd) of condensate (crude oil)

Thats only 20 k usd per day.. take out extraction and exploration cost... u are hardly left with any thing

 

[niaz]

Correct term is 'NGL' or natural gas liquids. This is not a crude field but a 'Gas' field. Just as in all crude producing wells; there is some associated gas produced (gas is normally flared that’s why one can see flames at night on crude oil producing facilities), there is always a small liquid stream produced from gas wells.

All hydrocarbons up to C4 (butane) are gaseous at ambient temperature. Boiling point of Pentane (C5 hydrocarbon) is 36 C; C5 and above all hydrocarbons are liquids at room temperature.

NGL is similar to Naphtha; used mostly as motor gasoline blend, feed for petrochemicals, solvent and / or for fertiliser production. 'Condensate' is not crude oil.

 

[Qutb-ud-din Aybak]

oil and gas comes out of kpk and the local people just see fire in the large chimneys where it is extracted while the beneficiary is punjab.
The local skilled people are struggling to find the jobs but they see people from other areas getting the jobs in their village.

 

[Khan_patriot]

oil and gas comes out of kpk and the local people just see fire in the large chimneys where it is extracted while the beneficiary is punjab.
The local skilled people are struggling to find the jobs but they see people from other areas getting the jobs in their village.

Stop spewing propaganda mate, the oil and gas in KpK, or any other part of pakistan is not significant enough to effect the regional or nationAl economy for that matter.

 

[Kabira]

Thats only 20 k usd per day.. take out extraction and exploration cost... u are hardly left with any thing

Well Pakistan was not blessed with gas and oil. Only large reserves of coal which turned out to be low quality.

Though Pakistan shale oil/gas reserves are significant but problem is cost of extraction at the monent.

 

[Khafee]

Correct term is 'NGL' or natural gas liquids. This is not a crude field but a 'Gas' field. Just as in all crude producing wells; there is some associated gas produced (gas is normally flared that’s why one can see flames at night on crude oil producing facilities), there is always a small liquid stream produced from gas wells.

All hydrocarbons up to C4 (butane) are gaseous at ambient temperature. Boiling point of Pentane (C5 hydrocarbon) is 36 C; C5 and above all hydrocarbons are liquids at room temperature.

NGL is similar to Naphtha; used mostly as motor gasoline blend, feed for petrochemicals, solvent and / or for fertiliser production. 'Condensate' is not crude oil.

Apologies in advance for this question, but why waste the gas? Why not sell it?

 

[niaz]

oil and gas comes out of kpk and the local people just see fire in the large chimneys where it is extracted while the beneficiary is punjab.
The local skilled people are struggling to find the jobs but they see people from other areas getting the jobs in their village.

If we were to use your argument; there are more than one million Pashtuns in Karachi alone and there are hell of lot of poor unemployed people in Sindh; suppose Sindhis use the same argument against the residents originating from KPK?

Pakistan is one country and all Pakistanis are free to move anywhere to find work. Besides, most oil companies give jobs on qualification and not on ethnicity.

It is a pity that even after 70 years, people from the other province are considered foreigners within Pakistan. And we condemn Neo Nazis (BNP & Skinheads) when they want to throw out all non- whites from Britain!

 

[somebozo]

oil and gas comes out of kpk and the local people just see fire in the large chimneys where it is extracted while the beneficiary is punjab.
The local skilled people are struggling to find the jobs but they see people from other areas getting the jobs in their village.

The exploration is done by private sector and they will sell the produce to a paying client. In KP they arent even paying electric bills who can risk selling gas to them?

 

[niaz]

Apologies in advance for this question, but why waste the gas? Why not sell it?

Hon. Sir,

Natural gas in about 90% methane. Oil producing companies burn off natural gas primarily to prevent a build-up of methane at the drilling site which would be dangerous as it can cause explosion. It requires lot of investment in plant & manpower to collect the associated gas, scrub it and then transport it to the place of consumption and unless the quantity is large enough it is not viable

Biggest culprits being Nigeria & Russia; there have been voices among the oil industry against the flaring of associated gas. It is estimated that much as 200-million cft of gas is being flared daily worldwide.

However with gas prices at less than $3 per million Btu on the New York Mercantile Exchange, there is little incentive for an entrepreneur to invest in collection of the associated gases.

1-million Btu is roughly equal to 1000 cft of natural gas

 

[PakForce]

This is useless news. Oil is at lows. When it was at highs maybe we talk. Right now to extract means bad move. There is cheap oil flooding.

 

[Jinn Baba]

oil and gas comes out of kpk and the local people just see fire in the large chimneys where it is extracted while the beneficiary is punjab.
The local skilled people are struggling to find the jobs but they see people from other areas getting the jobs in their village.

1) blame KPK government for not developing the province.

2) blame KPK government if they have failed to train / educate local workforce, requiring import of skilled labour from other provinces.

3) the product goes where there is demand. If demand is in Punjab then what do you expect?

 

[Orakzai]

1) blame KPK government for not developing the province.

2) blame KPK government if they have failed to train / educate local workforce, requiring import of skilled labour from other provinces.

3) the product goes where there is demand. If demand is in Punjab then what do you expect?

Somebody tell this guy that before Musharaf the whole country worked as a one unit state and all the resources supposed to be spent on other states were diverted to Punjab too. Before musharaf there was absolutely no development done in small provinces.

 

[AZADPAKISTAN2009]

As far as I recall KPK was given a budget start of year and they started some regional projects.
Punjab also recieved a budget and then allocated their budget to benefit of their goals

KPK province if it needs more investment perhaps they should invite countries willing to invest or negotiate some positives for their own province. They do have the ruling governing there (provincial level)

 

[Signalian]

Well Pakistan was not blessed with gas and oil. Only large reserves of coal which turned out to be low quality.

Though Pakistan shale oil/gas reserves are significant but problem is cost of extraction at the monent.

ever heard of Reko Diq ?