Pakistan's Future in Oil & Gas

[A.Rafay]

The Oil and Gas sector in Pakistan has seen phenomenal growth since the independence in 1947 when oil quantities produced were scarce. These limited quantities were being produced from a few small fields located in the Potohar region. At that time was no gas production.

Over the past half century the petroleum industry has played a significant role in national development by making large indigenous gas discoveries. Pakistan meets about 18% of its oil demand from local sources. The Government realising fully well that while a fiscal package with competitive incentives plays a vital role in attracting fresh investment an adequate protection of the companies' investment, is an essential prerequisite for the promotion of petroleum exploration in the country. This led to the enactment of the Foreign Investment Protection law of 1976 by the Parliament , under which the Government guaranteed full safeguard to foreign investments in Pakistan.

Pakistan's presents economy growth rate shows that our energy needs will increase from 64.5 Million Tonnes of Oil Equivalent (TOE), in 2010-11 to over 361.31 Million TOE in 2030. To overcome the projected needs of energy, major dependence will remain on the Oil & Gas sector. A total of 808 exploratory wells have been drilled so far in the sedimentary basins of Pakistan covering 827,267 Sq. Kms. Till 31st July 2012, 250 oil and gas fields (58 oil and 192 gas and gas/condensate) have been discovered in various basins of Pakistan with a success rate of 1:3.22. The remaining recoverable reserves of natural gas and oil are estimated at 26.6 Trillion Cubic Feet (TCF) and 341.9 Million US Barrels respectively.

Large areas of Pakistan's petroliferous basins eg Offshore Indus Basin, Makran Basin & Balochistan Basin still remain as a geological frontier and hold promise for the future in view of the multiple havitats for petroleum generation and accumulation which may act as a game changer in energy self-sufficiency. Independent international studies indicate an oil and gas potential that is many times more than these proven reserves. This area is totally under-explored & exports believe that it has huge prospectus for oil & gas. Following steps are being taken to enhance the exploration of oil & gas in the country:-

--- New Petroleum (Exploration & Production) Policy, 2012 will accelerate E & P activities and promote foreign direct investment in the oil & gas sector of Pakistan.

--- Basin study has been completed to co-relate entire data of different basins. It would help to identify new play types and help in new discoveries & simultaneously increase in indigenous energy.

--- Have state-of-the-art data repository centre-digitised data is available to existing and new companies to participate in exploration.

--- For exploration of non-conventional hydrocarbons separate policies on Tight Gas, Low BTU, Low Pressure Flared (LPF) gas have been prepared.

--- Completion of pending development projects-can and 400-500 MMCFD gas. At the current oil and gas production/consumption rate, the oil reserves can last for 11 years and gas for the 18 years. The government is thereof, besides making efforts to increase local supply has signed an agreement for import of gas from Iran. Additionally government is also considering different options of import of gas from Turkmenistan & Qatar and import of LNG to cope with the increase in demand.

Pakistan's Future in Oil & Gas | Business Recorder

 

[KingMamba]

Pakistan with so much oil and gas next door in Iran need not search for its own oil & gas. All they got to do is to stop killing the Shias and relations will automatically improve with Iran.

Foolish post only a very small minority of psychos are targeting the Shia.

 

[VCheng]

.................

Pakistan's presents economy growth rate shows that our energy needs will increase from 64.5 Million Tonnes of Oil Equivalent (TOE), in 2010-11 to over 361.31 Million TOE in 2030. ............

The near six-fold increase in TOE needs in about two decades is going to be hard to manage properly, no matter what happens.

 

[airmarshal]

Pakistan with so much oil and gas next door in Iran need not search for its own oil & gas. All they got to do is to stop killing the Shias and relations will automatically improve with Iran.

Most of the time, Indians are foolish like you when they comment about Pakistan. Rarely do we get any real insight from your compatriots.

 

[Edevelop]

Baluchistan has a lot of Oil, however, no other province should steal it. It shall be theirs to do business and what the government should do is help them extract it.

 

[VCheng]

Baluchistan has a lot of Oil, however, no other province should steal it. It shall be theirs to do business and what the government should do is help them extract it.

Please don't worry. The oil is Baluchistan is SO well-hidden that NOBODY is able to find it, so no other province will be able to steal it.

 

[niaz]

Let us not get carried away by a news article.

Off shore prospecting of oil along the Makran coast is not new. GOP signed agreements with Marathon oil & Amoco & Wintershell for on shore & off shore exploration along the Makran coast and Indus basin as far back as 1969. A total of 11 offshore and 2 on shore wells were drilled with no strike. Attempt was subsequently abandoned. Currently TOTAL, SHELL & British Gas & Ocean Oil hold offshore blocks. However the progress is slow due to past history of lack of success.

In my view there are more chances of finding oil producing structures off the Indus Basin than off the Makran Coast. Indian giant Bombay High oil field with about 6-billion barrels reserves is located about 100 miles west of Bombay just south of the Kutch peninsula. On the other hand no oil bearing structures have been found near or along the Baluchistan coast. Closest being in Dhofar Province of Oman, a region between Duqm & Salalah about 700 miles from Gwadar.

To the best of my knowledge there are no major oil producing regions in Iranian Baluchistan either. Most of Iranian oil is produced in the Khuzestan bordering Iraq and the gas in the South Pars region, far away from the Pak-Iran border. The rumour that there is a river of oil flowing beneath Iran/Baluchistan was a foolish fantasy started by people who have no idea about oil or its geology.

While I pray to Allah that Pakistan can become self-sufficient in oil & gas, reality is a bit different. We would definitely find more gas but chances of finding large oil producing fields (30,000 barrels per day or more) are not bright. There are good shale gas prospects in Pakistan but I doubt if we can find anyone to invest in this capital intensive prospecting in a hurry.

There may well be oil & gas on or off the Makran coast but we have so far not found any but I sincerely hope that we do.

 

[Donatello]

Let us not get carried away by a news article.

Off shore prospecting of oil along the Makran coast is not new. GOP signed agreements with Marathon oil & Amoco & Wintershell for on shore & off shore exploration along the Makran coast and Indus basin as far back as 1969. A total of 11 offshore and 2 on shore wells were drilled with no strike. Attempt was subsequently abandoned. Currently TOTAL, SHELL & British Gas & Ocean Oil hold offshore blocks. However the progress is slow due to past history of lack of success.

In my view there are more chances of finding oil producing structures off the Indus Basin than off the Makran Coast. Indian giant Bombay High oil field with about 6-billion barrels reserves is located about 100 miles west of Bombay just south of the Kutch peninsula. On the other hand no oil bearing structures have been found near or along the Baluchistan coast. Closest being in Dhofar Province of Oman, a region between Duqm & Salalah about 700 miles from Gwadar.

To the best of my knowledge there are no major oil producing regions in Iranian Baluchistan either. Most of Iranian oil is produced in the Khuzestan bordering Iraq and the gas in the South Pars region, far away from the Pak-Iran border. The rumour that there is a river of oil flowing beneath Iran/Baluchistan was a foolish fantasy started by people who have no idea about oil or its geology.

While I pray to Allah that Pakistan can become self-sufficient in oil & gas, reality is a bit different. We would definitely find more gas but chances of finding large oil producing fields (30,000 barrels per day or more) are not bright. There are good shale gas prospects in Pakistan but I doubt if we can find anyone to invest in this capital intensive prospecting in a hurry.

There may well be oil & gas on or off the Makran coast but we have so far not found any but I sincerely hope that we do.

There has been some renewed activity in South Punjab and North and North-east Sindh, with regards to Shale Gas. USGS maps show probable reserves over there. Some companies are prospecting, like Tullow, Premier, OGDCL, PPL and ENI, but again, laying infrastructure is the main issue. Plus the locals are not really fond of industrialization.

 

[fatman17]

Exploratory Wells drilled in Offshore
=====================================================================================
S. No Well Operator Spud Date T.D (M) Completion Date Formation at TD Status
=====================================================================================
1 Daboo Creek-1 Sun Oil 20-11-1963 4355 08-08-1964 Sembar Abandoned
2 Paitani Creek-1 Sun Oil 19-08-1964 2522 22-10-1964 Mugla Kot Abandoned
3 Korangi Creek-1 Sun Oil 25-10-1964 4140 21-02-1965 Koarara Shale Abandoned
4 Indus Marine-1A Winter Shell 12-09-1972 2841 14-12-1972 Miocene Abandoned
5 Indus Marine-1B Winter Shell 15-12-1972 3804 14-03-1973 Lower Miocene Abandoned
6 Indus Marine-1C Winter Shell 04-03-1975 1942 13-05-1997 Lower EconceneAbandoned
7 Jal Pari -1A Marathon 30-12-1976 2007 13-2-1977 Hinglej Group Abandoned
8 Karachi South Husky 26-02-1978 3353 09-05-1978 Mughal Kot Abandoned
9 Packan-1 OGDC 27-09-1985 3701 05-02-1986 Middle Miocene Abandoned
10 Sadaf-1 OXY 22-12-1989 3980 08-03-1990 Top Earl y Miocene Abandoned
11 Pasni-1 Ocean 11-10-1999 3569 17-01-2000 Parkini Abandoned
12 Gawadar-1 Ocean 30-01-2000 3810 27-03-2000 Parkini Abandoned
13 Pak G2 Total 12-05-2004 4750 18-06-2004 Abandoned
14 Pasni X-2 PPL 18-02-2005 4000 03-09-2005 Panjgur Abandoned
15 Anne-Ax -1 Shell 01-10-2007 3257 19-11-2007 Abandoned
16 Shark Eni 17-01-2010 3500 Abandoned
=====================================================================================

 

[A.Rafay]

Pakistan Discovered Almost 40 New Oil and Gas Basins in Last Four Years – Ministry

With Pakistan having awarded some 47 exploration licences to various oil and gas exploration companies from 2007 up to last year 2011, a total of 38 new oil and gas reservoirs have been unearthed that helped boost the country's combined oil and gas production to 4,165 million cubic feet per day (MMcfd) from the previous 3,973 MMcfd.

Quoting unnamed sources from the Ministry of Petroleum and Natural Resources, the Associated Press of Pakistan reported a total of 102 wells have been drilled up in various parts of the country in the last four years.

The same sources said Pakistan may expect additional boost once the expected 800 Mmcfd gas from local reservoirs is added in the system by August or September this year.

The Petroleum Policy in 2009, which extended incentives to oil and gas exploration companies in Pakistan, proved to be a much effective tool to entice as well as enable achieve self-sufficiency in the sector.

The policy has undergone a number of changes and revisions, but in principle, the Policy for 2012 would help further attract more local and foreign investment in Pakistan's oil and gas sector, the Council of Common Interests told the Associated Press of Pakistan. The federal government is expected to announce soon the Policy for 2012.

The Pakistan government is also working on establishing a number of pipeline construction projects to support its growing energy demand, including the Iran-Pakistan (IP) gas pipeline and Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline projects.

"Work on the IP gas pipeline project is at a fairly advanced stage. Under the project, Pakistan will construct approximately 800 km pipeline from Iran-Pakistan border to Nawabshah. The venture has entered into the implementation phase and work on Front End Engineering and Design, Feasibility and Detailed Route Survey has already been started. It is scheduled to be completed by June 2012," sources said.

Invitations for bids to construct the pipeline will be made after survey completion.

The IP gas pipeline project is a 56-inch diameter development that covers 1,931 kilometres starting from Iran's South Pars gas field. The project implementation and construction is targeted in four years, with the first gas flow available by end December 2014, the Associated Press of Pakistan reported. The expected 750 mmcfd gas volume production will help generate 4,000 MW electricity, as well as provide job opportunities in backward areas of Baluchistan and Sindh.

With the $ 7.6 billion TAPI gas pipeline project, meanwhile, the first gas flow is expected in 2016, where Pakistan will receive 1,325 Mmcfd of gas, double to that of the IP project.

 

[A.Rafay]

Ongoing Projects

Uch-II Development Project
The Uch gas field is located about 67 km southeast of Dera Bugti in Balochistan province. The field was discovered in 1955 by Pakistan Petroleum Ltd; however, it was not developed because of its low BTU content. We reactivated the Uch gas field in the 1980s. To date we have drilled 15 wells and we are currently supplying 220-225 MMscfd per day to Uch Power Ltd. via a 47 km pipeline at the first mega low heating value gas-fired 586 MW power plant. After completing a detailed study of the Uch gas field, OGDCL adopted a development plan under which production at the Uch gas field is to be increased from 220 to 380 MMscfd per day, enabling us to commit 160 MMscfd per day of gas for 25 years to a new power producer. This project involves the drilling of 15 additional development wells, installation of a gas gathering facility and installation of dehydration and hydrogen sulphide, (H2S), removal plant and gas delivery Station. So far 14 development wells have been drilled. GSA with UPL has been signed. The Engineering Consultant has been engaged to prepare the Design/ Tender documents.Gas supply for Uch-II is expected by February, 2014.

KPD-TAY Integrated Development Project
KPD-TAY Plant is located adjacent to Company’s existing Kunnar LPG plant in Sindh Province and about 25 Kilometers from Hyderabad City. OGDCL decided to set up the project by itself. The Project will be completed in two phases. Under phase-I, 100 MMSCFD of dehydrated gas would be supplied into SSGCL’s network with 8% CO2 Contents and without extracting of LPG. SSGCL has completed the laying of 30 KM (Dia 24") Gas Transport line i.e. from Kunnar Plant to Jamshoro Tie-in Point. OGDCL completed Phase-I project in October, 201I. Gas supply from field started on Jan 12, 2012. In phase-II to fully process 312 raw gas including LPG extraction & removal of 8% CO2 contents and supply the quality gas to SSGCL’s network. Phase-II project activities are in progress. Tentative time line of completion is 24-26 months. LOI for engagement of Consultant has been issued. Expected Production upon the completion of project; Oil 4,400 BOPD, Gas 284 MMCFD , LPG 387 M.Tons/day and NGL 400 BOPD.

Jhal Magsi Development Project
Jhal Magsi gas field is located in District Jhal Magsi Balochistan, and is a joint venture among OGDCL (56%), POL (24%), GHPL (20%), with OGDCL serving as the operator. Development project is under implementation, in which installation of dehydration/compression/ H2S removal plant is required. Upon completion its expected production is 15 MMScfd by February, 2013.


Sinjhoro Development Project
The Sinjhoro field is located in the Sanghar District, Sindh Province, and is a joint venture among OGDCL (62.5%), OPI (15%) and GHPL (22.5%), with OGDCL serving as the operator. The scope of work for this project involves the relocation of Ex-Dhodak Plant (i.e. dehydration and LPG Plant), feed/sales gas compressors at Sinjhoro, construction of gathering facilities, an amine plant. The projected product yield upon completion is 3000-3500 bbls per day of oil, 25-31 MMScfd per day of gas and 120-140 M.ton per day of LPG. Most of the equipment /packages have been press advertised. Construction of civil foundations work is in progress. The project is to be completed in 2- phases, 1st phase by June 2012 and 2nd phase by December, 2012.

Nashpa/ Mela Development Project
Nashpa/ Mela field is located in District Kohat , and is a joint venture among OGDCL (65%), PPL (30%), GHPL (5%), with OGDCL serving as the operator. Development project is under implementation, in which Installation of complete processing facilities including LPG plant & compression facilities. LOI for engagement of Consultant has been issued.

 

[A.Rafay]

OGDCL Fields

 

[A.Rafay]

Major Oil & Gas Fields

SIND

Tando Alam (Oil)

Lashari (Oil)

Thora (Oil)

Sono (Oil)

Missan (Oil)

Pasakhi (Oil)

Bobi (Gas/ Condensate)

Qadirpur (Gas)

Kunnar (Oil)

Norai Jagir(Gas/Condensate)

Daru(Gas/Condensate)

Hundi/Sari(Gas/Condensate)


PUNJAB

Fimkassar (Oil)

Missa Keswal (Oil)

Toot (Oil)

Chak Naurang (Oil)

Kal (Oil)

Rajian (Oil)

Bahu (Gas)

Nandpur (Gas)

Dakhni (Oil/Gas)

Dhodak (Oil/Gas)

Sadqal (Oil/Gas)


BALOCHISTAN

Loti (Gas)

Uch(Gas)

Pirkoh (Gas)


KPK

Chanda (Oil)

Nashpa (Oil)

Mela (Oil)

Sheikhan (Gas)

http://www.ogdcl.com/about-us/Fields.html#top

 

[SamranAli]

read that govt is buying pipes to lay down for IP Project.

 

[qasimali]

We also need to explore what GOD has gave us. We have enough reserves of Natural Gas and we have oil too, not too much but have.
List of countries by natural gas proven reserves - Wikipedia, the free encyclopedia
List of countries by proven oil reserves - Wikipedia, the free encyclopedia