Engineering Post Report
The oil and gas exploration and activities have been undertaken by the private sector E & P companies outside the Public Sector Development Programme (PSDP) of the Federal Government funding. Similarly, the gas transmission and distribution activities have also been undertaken by generation companies GENCO’s at their own through ogra tariff. However, laboratory and gas supply schemes to Special Economic Zones are included in PSDP 2020-21 and 2021-22 as a special case due to being prioritized economic zones under China-Pakistan Economic Corridor (CPEC) for enhancing industrial development in the country.
During 2020-21, the production of crude oil was 27 million barrels against target of30 million barrels. The domestic production of natural gas was 1.2 trillion cubic feet against target of 1.43 trillion cubic feet. These figures indicate production of both crude oil and natural gas during last financial year less than the target for varying reasons. The supplies of local LPG were 753051 tons.
A total of 28 wells including 13 exploratory and 15 development were drilled against target of 80 including 44 exploratory and 36 development wells. Achievement against the target was even less than 30 per cent .
For enhancing the exploration activities in the countries, six new exploration blocks including Killa Saifllah,Sharan and Suleiman Blocks in Balochistan, Sujawal Block in South Sindh and Jhelum, Lillah Blocks in Punjab have since been awarded to E & P companies through competitive biddings.
The award of new exploration blocks was most likely to add new hydrocarbon reserves over the new few years and bridge the oil and gas demand supply gap in the country. The execution of new exploratory licenses with the operators will also enhance investment in the petroleum sector, the official sources on being contacted showed their confidence.